Hong Kong Authorities Plan to Strictly Supervise Crypto

Eddie Yue, the head of the Hong Kong Monetary Authority (HKMA), has declared in a Bloomberg interview that Hong Kong will take a stringent approach to regulating the digital asset sector.

Starting June 1, 2023, all centralized exchanges doing business in the jurisdiction or interacting with local investors will be required to be licensed by the Securities and Futures Commission (SFC).

Furthermore, by 2024, a mandatory licensing system for stablecoins will be implemented.

Yue has emphasized that while they will be allowing the development of an ecosystem in the area, it will not be done under lax regulations.

Moreover, the SFC is currently in the process of developing a guide for banks on servcing crypto organizations.

Yue has also noted that while Hong Kong has taken strict measures on digital assets in the past, they are now being reduced to a more reasonable and sustainable level.