OKX Forms Hong Kong Branch, Plans to Apply for Virtual Asset Licenses

Hong Kong has been increasing favored by crypto firms following its announcement of plan to relax rules banning retail investors from buying crypto tokens from licensed platforms​.

OKX, the world's second-largest crypto exchange by trading volume and a leading Web3 technology company, has joined multiple firms including Huobi and Gate Group​ to establish new entity in the region and apply for virtual asset licenses.

According to the official press release, the company has set up a Hong Kong unit to deliver virtual asset services in the city. Besides, it is looking to apply for the virtual asset service provider (VASP) licence under the Anti-Money Laundering and Counter-Terrorist Financing (Amendment) Ordinance 2022 which will come into effect on 1 June 2023. The company is also seeking the Type 1 & 7 licences under the Securities and Futures Ordinance.

"Regulation and licensing are key to the future success of the crypto and Web3 sectors. At OKX, we see immense potential in Hong Kong, and are committed to investing in talents and working with regulators over the next five years to continue building the local ecosystem,” said Lennix Lai, OKX Managing Director of Global Institutional. 

“Through the new VASP regime, the Hong Kong government has created a robust regulatory framework and the right conditions for Hong Kong to become a world-leading virtual asset hub. We're looking forward to applying for the relevant licences via our Hong Kong entity."