The relevant provisions are captured in a new set of rules.
Thanks to the development of the cryptocurrency industry the authorities of Hong Kong are going to return the region the status of the financial and cryptocurrency center of Asia.
SFC to allow retail investors to trade bitcoin and ether, subject to security measures. Cryptocurrencies must not have a “bad incident” within 12 months for retail trading.
In addition, cryptocurrencies must be included in at least two indexes (we are talking about indexes and funds of companies like Galaxy and CoinShares).
At the same time, the regulator has banned retail trading in stabelcoins. Cryptocurrency lending services and “profitable mining” are also banned.
Cryptocurrency advertising and proprietary trading banned. Cryptocurrency platforms should use third-party custodial services to store assets.
“Retail traders’ access to secure, reliable and regulator-compliant cryptocurrency platforms is a key aspect of a robust and complete virtual asset ecosystem,” OKX Exchange Chief Commercial Officer Lennix Lai agrees with officials.
The creation of guidelines for cryptocurrency firms was announced by Hong Kong authorities back in late April.
The chairman of the local Central Bank has stated that crypto platforms should not expect leniency and indulgence.