[ad_1]
HONG KONG (Reuters) – Hong Kong’s securities watchdog will propose a subset of tokens to allow retail investors to trade on Wednesday, its chief executive said Wednesday. Friendly to crypto startups.
As investor protection continues to be the focus of the new Virtual Asset Service Provider (VSAP) regime, the Securities and Futures Commission (SFC) will seek public comment on certain guardrails for retail trading, says Julia, The CEO says Leung. commission.
“Over the past year, crypto assets have gone from peak to low (price) levels. The good news is that as the bubbles are removed from the system as platforms and some tokens collapse, investors and sellers will Focus on home protection, Leung said during a panel discussion at the Asian Financial Forum in Hong Kong on Wednesday.
Hong Kong’s move to allow retail trading of cryptocurrencies comes after months of turmoil in the sector, with the collapse of crypto exchange FTX being the latest blow.
Bitcoin, the largest cryptocurrency, has lost more than 70% of its value since hitting a record high in November 2021.
The SFC plans to start accepting applications for VASP licenses in mid-2024, Leung said. The new crypto system will require all trading platforms and exchanges to apply for a license, and failure to do so will result in fines and imprisonment.
Industry sources said they expect talks on retail deals to begin in the first quarter. Leung said investment funds and bond tokenization are also under his SFC’s jurisdiction.
(This article has been resubmitted to update Leung’s title in the second paragraph)
Reported by Georgina Lee.Edited by Kim Coghill
Our standards: Thomson Reuters Trust Principles.
[ad_2]
Source link
