Hong Kong-based crypto trading platform DFX Labs is nearing a full operational license after receiving clearance under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO).
According to public records from the Securities and Futures Commission (SFC) of Hong Kong, DFX Labs is “deemed to be licensed for providing the virtual asset service.”
However, despite holding an active AMLO license, the platform is not yet authorized to offer crypto trading services.
The records clarify:
“The Applicant is only deemed to be licensed for providing the virtual asset service below. The SFC has NOT granted a license to the Applicant under the AMLO.
The application for his/her license is still pending determination.”
DFX Labs applied for the Hong Kong crypto license on December 27, 2023, with Simon Au Yeung, the company’s chief operating officer, as the primary applicant.
The exchange was deemed to be licensed on June 1.
Currently, the DFX Labs website remains an unlicensed virtual asset platform and is unavailable for Hong Kong residents.
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Hong Kong is making concerted efforts to attract global startups.
Three government entities — The Hong Kong Economic and Trade Office in Toronto (Toronto ETO), Invest Hong Kong (InvestHK), and StartmeupHK (SMUHK) — recently co-hosted an event in Toronto to promote its offshore technology hub for Canadian crypto and Web3 startups.
Speaking at the event, Toronto ETO director Emily Mo highlighted the startup-friendly regulations, such as lower taxes compared to Canada, and Hong Kong’s willingness to collaborate with “pre-commercial specialist technology companies.” She emphasized:
“There is a creative mindset on Web3/virtual assets developments. Fintech, health technology, green technology and property technology, etc, are trending in Hong Kong and Asia these days.”
In May, Hong Kong mandated the shutdown of all crypto exchanges operating without a license.
Many crypto exchanges that had applied for an operational license eventually withdrew their applications. This list included prominent global players such as OKX, Huobi HK, and Bybit, among others.
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