Hong Kong-based investment management firm, Victory Securities, has obtained approval from the Securities and Futures Commission (SFC). This approval allows the company to offer digital asset services to retail clients, expanding the number of cryptocurrency licenses in the country.
In a press release dated November 24, Victory Securities announced that it has become the first licensed corporation in Hong Kong to offer digital asset services to clients.
With a history deeply entrenched in Hong Kong for the past 50 years, the firm has underscored its noteworthy progress in virtual assets. Furthermore, it has expressed a firm commitment to integrating these virtual assets into the traditional finance ecosystem. The approval from the SFC allows the company to provide retail investors with licensed virtual asset trading and advisory services.
Pioneering Hong Kong’s Vision as a Global Hub for Virtual Assets
Victory Securities has a goal to establish a platform seamlessly linking virtual assets with traditional finance. This platform enables retail clients to engage in asset trading and acquisition.
The company is committed to positioning Hong Kong as the International Virtual Asset Center. Additionally, it emphasizes a focus on investor education and research, aligning with regulatory requirements.
The firm intends to provide investment advice to retail users by issuing periodic research reports and facilitating flexible asset allocation. Hong Kong’s favorable attitude towards digital assets is evident in regulatory frameworks released on June 1.
These frameworks are designed to establish a level playing field for companies while ensuring the protection of investors. Notably, HashKey and OSL Securities are among the firms that have already obtained regulatory approval for retail crypto licenses in Hong Kong.
Victory Securities Enters Digital Asset Space Amid Global Regulatory Shifts
Notably, Victory Securities now joins this group, with its license approval signifying another step in Hong Kong’s embrace of digital assets. Despite the positive reception of the regulatory environment in Hong Kong, some businesses are taking a different course.
Bitget, for example, has opted to cease operations in the region. The primary reason cited for this decision is market considerations.
“Due to business and market-related considerations, we have decided not to apply for a Virtual Asset Trading Platform (VATP) license in Hong Kong.”
Similar developments are emerging in other global financial centers, including Dubai, Brazil, and Singapore. Additionally, these regions are actively working towards establishing clear regulatory structures for digital assets. They draw inspiration from successful models like Europe’s Markets in Crypto Asset (MiCA) regulation.