Key Takeaways:
- Hong Kong has licensed 13 virtual asset trading platforms to date
- 6 additional license applications are currently under review
- Proposed regulatory regime includes penalties under existing framework
Back
Hong Kong reviews 6 more crypto license bids as 13 platforms approved
Hong Kong's licensing push for virtual asset trading platforms is accelerating, with 13 operators already approved and 6 more applications under review.
Hong Kong's Acting Secretary for Financial Services and the Treasury, Joseph Chan, said 13 virtual asset trading platforms have been licensed, while 6 additional applications remain under review. Unless exempted, any party engaging in virtual asset trading, custody, advisory or asset management services must obtain a license, Chan said.
The proposed regulatory regime will include penalties consistent with those under the existing framework, according to Chan. The update comes as Hong Kong has been positioning itself as a regulated crypto hub, with cumulative issuance of tokenized government green and infrastructure bonds exceeding $2 billion, according to HKMA data.
The city's tokenized product market has grown sevenfold to $1.4 billion in assets under management as of March 2026, with 13 publicly offered tokenized products totaling HK$10.7 billion, or about $1.4 billion. The Securities and Futures Commission in April permitted secondary trading of authorized investment products, including tokenized money market funds, on licensed virtual asset trading platforms.
Licensing momentum builds
Hong Kong's licensing framework requires all virtual asset service providers to register with the SFC. The 13 licensed platforms now operating include OSL and HashKey, which were among the first to receive approvals under the city's mandatory regime. The 6 pending applications span a mix of local and international operators seeking to serve Hong Kong clients.
The Hong Kong Monetary Authority's Project Ensemble, a pilot launched in November 2025, has been testing tokenized deposits for real-value transactions throughout 2026, using the HKD Real Time Gross Settlement system for interbank settlement. The Digital Asset Clearing Center, known as DACC.HK, raised $10 million in May 2026 to build tokenized financial market infrastructure.
What the regulatory clarity means
The expansion of licensed platforms and the pipeline of pending applications indicate that Hong Kong is moving beyond pilot programs toward a structured regulatory environment. For institutional investors, the availability of licensed venues for secondary trading of tokenized products reduces counterparty risk and improves liquidity options.
The SFC's decision to allow secondary trading on licensed platforms is a key development for market dynamics, as investors can exit positions without waiting for redemption windows. The question now is whether the 6 pending applications will be approved in the current cycle and whether institutional allocators will increase exposure to Hong Kong's digital asset market as regulatory clarity improves.
This article is for informational purposes only and does not constitute investment advice.
[1] FSTB: 6 Virtual Asset Trading Platform Licence Applications Under Review[2] Hong Kong expands digital asset ecosystem with tokenization push and $2B in government bonds - Crypto Briefing[3] US moves to block advanced AI chip sales to Chinese entities - Crypto Briefing[4] Futu Holdings Balances Rapid Growth With Regulatory Hit - The Globe and Mail
