Regardless of mainland China’s strict rules, Hong Kong has maintained a relatively open stance towards cryptocurrencies. The SFC’s current rules on the issuance of Bitcoin ETFs replicate the town’s recognition of the demand for such digital belongings.
The FSTB’s proposed rules intention to handle dangers by rising transparency and defending customers throughout the OTC cryptocurrency market. Anticipated regulatory measures possible embrace:
Shopper Safety: Implementing KYC procedures to persistently confirm buyer identities and forestall unlawful actions.
Market Integrity: Establishing a regulated OTC market to take care of market integrity, entice institutional funding, and guarantee transparency and equity.
Worldwide Requirements Alignment: Harmonizing Hong Kong’s crypto regulatory framework with worldwide monetary facilities to bolster its repute as a safe and reliable monetary hub.
Fraud Prevention: Implementing rules to stop fraudulent actions and safeguard traders from being channeled into unlicensed buying and selling platforms.
Readability and Confidence: Offering authorized certainty and clear pointers for OTC shops and their prospects, fostering long-term trade development and shopper belief.
