Hong Kong Grants First Crypto Licenses of 2025 to PantherTrade and YAX

Hong Kong has issued its first crypto licenses of 2025 to exchanges PantherTrade and YAX, raising the total to seven since mid-2024. These licenses underline Hong Kong’s aim to regulate the crypto industry with a structured approach, allowing only Bitcoin, Ether, Avalanche, and Chainlink for trading. Focus remains on investor protection and secure trading practices.

In a significant development, Hong Kong has rolled out its first crypto operational licenses of 2025, recently granting the nod to exchanges PantherTrade and YAX. This latest move ups the total to seven licenses since mid-2024, showcasing Hong Kong’s commitment to regulating the burgeoning virtual asset market. The decision is seen as a part of a broader strategy to foster a secure environment for cryptocurrency trading in the region.

Under the scrutiny of the city’s Securities and Futures Commission (SFC), both exchanges have to comply with the Anti-Money Laundering and Counter-Terrorist Financing Ordinance, or AMLO for short. This step signifies a major leap toward achieving safer crypto trading practices, as the SFC has ramped up its focus on strict regulations, including robust Know Your Customer (KYC) processes and significant cybersecurity measures.

Since 2020, Hong Kong has cautiously licensed a total of ten exchanges. Among these, four were added just in December 2024. This balanced approach aims not only to protect investors but also to cultivate a growing digital asset ecosystem. With a firm eye on the future, the SFC seems determined to put Hong Kong on the map as a leader in crypto regulation.

However, it’s not just about numbers. The SFC’s intent is also reflected in the types of cryptocurrencies trading is permitted—only four digital assets are currently approved, namely Bitcoin, Ether, Avalanche, and Chainlink. This limited roster illustrates the city’s measured and strategic approach to integrating crypto into the financial system, ensuring rigorous oversight while promoting innovation and growth.

In summary, Hong Kong is taking substantial steps in establishing a regulated crypto environment by issuing its first licenses of 2025. With the recent grants to PantherTrade and YAX, the city’s total stands at seven licenses since mid-2024, emphasizing regulatory vigilance. The cautious approval of only four cryptocurrencies points to a careful yet growth-oriented strategy in a sector full of potential.

Original Source: dig.watch