Hong Kong authorities plan to allow more crypto exchanges before the end of this year, according to Financial Secretary Paul Chan.
At Hong Kong FinTech Week, Chan said the Securities and Futures Commission (SFC) is actively reviewing more platforms for potential licenses. The news indicates that more virtual asset service providers could receive licenses, joining recent licensees like OSL Exchange, Hashkey Exchange and HKVAX.
He declared:
“So far we have issued three licenses. During this time, the SFC (Securities and Futures Commission) assesses the legal and regulatory compliance of the service providers considered. We expect more licenses to be issued in the coming months.
Chan also highlighted other ongoing regulatory efforts, including plans to regulate stablecoins and establish guidelines for over-the-counter (OTC) trading. He added:
“The HKMA already launched a sandbox for stablecoin issuers in March to allow interested parties to conduct testing and facilitate two-way communication on proposed regulatory requirements, ensuring that these requirements are fit for purpose . We plan to introduce the bill this year.
Furthermore, Chan emphasized that the Hong Kong government is not only seeking to reap the benefits of AI, but also seeking to “address potential challenges, such as cybersecurity, data privacy, protection of human rights intellectual property and concerns about its impact on AI”. jobs and ethics.
For this reason, the Government will launch a policy statement that reflects its policy position and regulatory approach to the responsible application of AI in financial services.
Tax incentives
Meanwhile, Hong Kong is also exploring new tax incentives that could extend the current benefits of traditional funds and family offices to crypto investments.
Christopher Hui, Secretary for Financial Services and the Treasury, shared this update during Hong Kong FinTech Week, noting that tax breaks for crypto and other investments could be implemented by the end of the year .
Hui believes these incentives will boost investment and accelerate the sector’s growth.
