Hong Kong’s New Crypto Regulations Take Effect: Who Are the First Movers?

·

The crypto landscape in Hong Kong has entered a transformative phase. On June 1, 2025, the city’s long-anticipated virtual asset regulatory framework officially came into force—ushering in a new era of compliance, institutional participation, and innovation in digital finance. As one of Asia’s leading financial hubs, Hong Kong is positioning itself as a gateway for Web3 adoption under clear and structured oversight.

This regulatory milestone allows licensed platforms to offer retail crypto trading services, provided they meet stringent anti-money laundering (AML), investor protection, and cybersecurity standards. The move reflects Hong Kong’s strategic ambition to become a global digital asset hub while maintaining financial stability.

With the rules now in place, a wave of global and regional players has stepped forward to secure licenses, launch localized platforms, and expand operations. Let’s explore the pioneers leading this charge.


The Rise of Licensed Virtual Asset Platforms

Among the earliest and most prominent entrants is HashKey, a homegrown leader in Hong Kong’s Web3 ecosystem. HashKey began its compliance journey as early as 2022:

👉 Discover how top-tier platforms are shaping the future of compliant crypto trading.


Global Exchanges Setting Up Shop in Hong Kong

International exchanges are also racing to establish a local presence.

OKX, one of the world’s largest crypto platforms, has been preparing for years:

Similarly, Huobi Global, led by Justin Sun, announced aggressive plans:

Other global names making moves include:


Institutional Players Entering the Ecosystem

Beyond exchanges, financial institutions are integrating crypto services into their offerings.

ZA Bank, Hong Kong’s first virtual bank, plans to launch virtual asset trading for retail customers through its app by partnering with licensed exchanges.

DBS Bank (Hong Kong) revealed intentions to apply for a digital asset license to extend its institutional crypto services to local clients.

Meanwhile, Interactive Brokers (Hong Kong) already enables professional investors—individuals with over HK$8 million in assets—to trade Bitcoin and Ethereum directly.

On the asset management side:


Infrastructure and Support Services Expand

A robust ecosystem requires more than just exchanges—infrastructure providers are also scaling up.

Even traditional finance firms are stepping in:


FAQs: Understanding Hong Kong’s Crypto Shift

Q: What changed on June 1, 2025?
A: The revised Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO) came into effect, requiring all crypto platforms serving Hong Kong customers to obtain a VASP license from the SFC.

Q: Can retail investors now trade crypto legally?
A: Yes—but only on SFC-licensed platforms that meet strict capital adequacy, custody, and disclosure requirements. Not all exchanges currently serving Hong Kong are yet fully licensed.

Q: What types of licenses do platforms need?
A: Most seek Type 1 (Securities Dealing) and Type 7 (Automated Trading Services) licenses under the Securities and Futures Ordinance, plus VASP registration under AMLO.

Q: Are stablecoins regulated in Hong Kong?
A: While no specific stablecoin law exists yet, issuers like First Digital are launching regulated USD-backed tokens under existing trust frameworks.

Q: How does Hong Kong compare to Singapore or Japan?
A: Hong Kong combines clear retail access with strong investor protections—straddling the balance between innovation and oversight more aggressively than Singapore’s cautious stance or Japan’s established but restrictive regime.

👉 See how compliant platforms are redefining secure digital asset access.


Looking Ahead: A Hub for Asian Web3 Innovation

Hong Kong’s regulatory clarity is attracting talent, capital, and technology. Projects like STEPN (Move-to-Earn), DFINITY (Internet Computer), and LTP (institutional brokerage) are establishing regional bases in Cyberport and beyond.

With institutions like Seba Bank (Switzerland), Independent Reserve (Australia), and Pionex entering the market, the city is rapidly evolving into a pan-Asian nexus for digital finance.

As compliance becomes the new standard, early adopters aren’t just gaining licenses—they’re building trust, infrastructure, and long-term ecosystems.

👉 Stay ahead of the curve in Asia’s fastest-growing crypto market.

The message is clear: Hong Kong is open for Web3 business—with rules, responsibility, and opportunity in equal measure.