Hong Kong Regulator to Provide Guidance for Cryptocurrency Firms in May

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Hong Kong Securities and Futures Commission (SFC) announced that it is preparing rules for licensing cryptocurrency exchanges and will present them next month.

Bloomberg publication with reference to the generalSFC Director Julia Leung says the new guidance and rules will ensure support for cryptocurrency trading platforms offering services to retail investors. 

The rules should come into force on June 1.As part of the development of regulatory documentation, the regulator held preliminary consultations and received over 150 different reviews and proposals from various interested companies.

The Hong Kong regulator pays special attention toanti-money laundering (AML) procedures and customer identification (KYC) processes. Note that the SFC is already ensuring that some crypto platforms operate in accordance with the rules. In addition, OSL and Hashkey Group have already received licenses from the regulator.

At the beginning of the month, it was reported that the Gate.io platform had submitted several applications for various licenses to operate in Hong Kong.