A senior executive with the Hong Kong Securities and Futures Commission, or SFC, believes more needs to be done to tackle cryptocurrency fraud, offering clues to future directions on digital asset trading in the region special administrative. Deputy General Manager Liang Fengyi said the SFC is obligated to expand the scope of cryptocurrency supervision in the city-state, especially with regard to unlicensed trading, according to an English translation of an article. published in the local newspaper ETNet. She explained that, since crypto assets are not recognized as securities or as a method of payment, they do not fall under the jurisdiction of the SFC. As a result, many investors who participated in the nascent asset class suffered significant losses. Unlike mainland China, Hong Kong allows cryptocurrency trading, although the scope of transactions is under scrutiny. Government regulators in the Special Administrative Region have presented proposals to limit cryptocurrency trading to professional investors in addition to the new licensing requirements. As UKTN reported in May, Financial Services and the Hong Kong Treasury Office are considering restricting access to crypto to wallets with at least $ 1 million in assets. If passed, the new guidelines would restrict access to crypto to around 93% of the city’s population. Related: Binance to Restrict Derivatives Trading for Hong Kong Users Several crypto exchanges have halted or limited trading activity in Hong Kong in recent months. In June, Hong Kong brokerage firm Futu announced it was halting trading in crypto futures over regulatory matters. In August, Binance decided to block trading in derivatives for local traders.
CNY - Chinese Yuan Renminbi