Rules Governing Crypto Sphere Are Published In Hong Kong
The Securities and Futures Commission of Hong Kong (SFC) published a statement on the official website in which it suggests guidelines for organizations related to the crypto sphere.
The publication of the guide on normative standards can be considered the first step of the SFC towards the creation of a formal regulatory environment.
The Hong Kong’s approach to the crypto sphere is very different from mainland China, where activities related to digital assets are prohibited. The work of trading platforms and crypto companies in Hong Kong is allowed, but the authorities have not yet issued official documents that would regulate this sphere.
According to the SFC statement, fund managers who invest more than ten percent of their funds in crypto assets will have to obtain a license. Crypto exchanges that offer services only to professional depositors will have an opportunity to switch to the sandbox, where they will be free to experiment with the rules on combating money laundering and many others. In the future, such crypto exchanges may come under control of the Commission.
The crypto market is young, and trade rules are not always transparent and fair here, Ashley Alder, the SFC head, stated in an interview with Bloomberg. In his opinion, the interruptions in work, manipulations, and irregularities, and even outright scandals and cases of fraud are very typical for this market.
Earlier, Carlson Tong Ka-shing, the former head of the SFC, spoke about the need to adopt rules in the crypto sphere.