OKX Launches Virtual Asset Services in Hong Kong

OKX, the second-biggest crypto exchange by trading volume in the world and a leader in the Web3 space, is launching virtual asset services via its new Hong Kong entity.

The exchange plans to apply for the Type 1 & 7 licenses under the Securities and Futures Ordinance and the virtual asset service provider (VASP) license under an anti-money laundering law expected to come into force on June 1 this year, Bankless Times learned from a press release.

They spent a year working on compliance and security

The exchange spent a year preparing for the launch and has met all expected regulatory requirements from compliance, product, organizational, and security standpoints. OKX Managing Director of Global Institutional Lennix Lai commented:

OKX sees immense potential in Hong Kong and is committed to investing in talents and working with regulators over the next five years to continue building the local ecosystem. 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 licenses via our Hong Kong entity.

OKX General Counsel Bing Zhao added:

OKX takes security, custody, AML and compliance very seriously and we are keen to demonstrate how we can meet and exceed the robust standards expected of virtual asset service providers under this regulatory regime.

Hong Kong is a top crypto destination

Hong Kong has become a top crypto industry destination over the past few years. Its importance for OKX will continue to increase, and not only for OKX - many innovative firms, talent, and entrepreneurs are taking an interest as regulation develops in the destination. The process even has Beijing’s support.

In the next few weeks, the exchange is sponsoring two industry conferences in Hong Kong: the WOW Summit and the city-state’s Web3 Festival.