The Hong Kong Securities and Futures Commission (SFC) has intensified its oversight of the virtual asset sector following the JPEX scandal that shook investor confidence in September 2023. In response, the regulator announced plans to strengthen investor education and transparency by introducing a new "Virtual Asset Trading Platform Applicant List" — a move signaling Hong Kong’s ongoing commitment to building a secure, compliant crypto ecosystem.
Currently, four homegrown platforms — HKVAX, Victory Fintech Company Limited, HKBitEx, and HKBGE Limited — are among the first to enter this formal application process. While none have yet received full licensing, each is making measurable progress toward compliance with Hong Kong’s rigorous regulatory standards.
These developments reflect a broader shift: from unregulated speculation to institutional-grade digital asset infrastructure. As global interest in regulated crypto access grows, Hong Kong continues to position itself as Asia’s leading hub for compliant blockchain innovation.
👉 Discover how top-tier crypto platforms are navigating Hong Kong’s evolving regulatory landscape.
HKVAX: Close to Final Approval After Three-Year Journey
Among the four applicants, HKVAX (Hong Kong Virtual Asset Exchange) appears to be the furthest along. The platform claims it has already secured in-principle approval from the SFC — a critical milestone indicating that the regulator finds its operations, governance, and risk controls largely satisfactory.
According to an August 11 press release, final approval will permit HKVAX to offer Type 1 (Dealing in Securities) and Type 7 (Automated Trading Services) regulated activities. Once fully licensed, the exchange plans to launch three core offerings:
- Institutional-grade spot trading platform
- OTC brokerage services
- Digital asset custody solutions
The journey hasn’t been short. Co-founder and Operations Director Horace Fok (霍兆梁) revealed that the licensing process has taken nearly three years. The team now expects another six months before full operational status.
Leadership credibility adds weight to their application. CEO Wilson Ng (吴炜梁) previously served as Managing Director of CITIC Futures International and currently holds a vice-chair position on the Hong Kong General Chamber of Commerce’s Financial & Treasury Services Committee.
With strong institutional backing and deep regulatory engagement, HKVAX is emerging as one of the most promising homegrown candidates for formal recognition.
Victory Fintech: Backed by Traditional Finance Powerhouse
Victory Fintech Company Limited, a subsidiary of long-standing brokerage Victory Securities, represents the convergence of traditional finance and digital assets. The firm is led by executives including Ko Kwan, Chairperson of the Hong Kong Securities Association.
Unlike startups entering the space, Victory brings existing SFC licenses — holding Type 1 (Trading), Type 4 (Advisory), and Type 9 (Asset Management) — giving it a significant head start in compliance infrastructure.
Their market message is clear: "Buying stocks or buying crypto — it should be just as simple." This philosophy underscores their push to integrate digital assets into mainstream investment portfolios.
In March 2023, they formed a strategic partnership with OSL, one of Hong Kong’s first licensed crypto platforms. Through this collaboration, Victory Fintech launched what it calls the city’s first compliant virtual asset trading app, initially available only to professional investors.
This phased rollout reflects the cautious but determined approach regulators expect — prioritizing risk control while expanding access.
HKBitEx: Former HKEX Executives Building Institutional Infrastructure
Founded in 2019 by former Hong Kong Exchange (HKEX) professionals, including founder Gao Han, HKBitEx was designed from the ground up for institutional clients.
The platform raised $10 million in Series A2 funding in 2020, backed by Axion Global Investment Limited (a subsidiary of listed company Anling International) and Hanwha Asset Management — a testament to investor confidence in its long-term vision.
HKBitEx focuses on providing regulated spot and over-the-counter (OTC) trading services for professional investors across Asia. It is among the earliest movers in the region to pursue formal SFC licensing for virtual asset trading platforms.
Their emphasis on compliance, security, and institutional-grade execution aligns closely with Hong Kong’s regulatory expectations — making them a serious contender in the upcoming licensing cycle.
👉 See how experienced teams are shaping the future of regulated crypto trading in Asia.
HKBGE: Emerging Player with Strategic Leadership Ties
HKBGE Limited, a subsidiary of HKE Holdings Limited, was incorporated in April 2021. Though less publicly visible than others, HKBGE has built solid foundations for compliance.
Its wholly owned subsidiary, HKBGE TSP Limited, obtained a TCSP (Trust or Company Service Provider) license under Hong Kong’s Anti-Money Laundering Ordinance (AMLO) in September 2021 — enabling it to provide secure digital asset custodial services.
Leadership includes notable figures from the regulated crypto space. CEO Ouyang Jianan is a founding member of HashKey Digital Asset Group and has served as Chief Operating Officer of HashKey’s SFC-licensed platform. He also led strategic planning at HashKey since 2018.
Legal Director Ming Chun Chun (黎明俊) stated the licensing process has taken 1–2 years so far and is now entering the confirmation phase — potentially paving the way for in-principle approval soon.
Recent corporate records show only two directors: Au Kam Pui (Operations Head) and Kitty Yee (Business Development). The platform remains invite-only for professional investors, maintaining a low public profile while focusing on regulatory readiness.
SFC’s Multi-Tier Transparency Initiative
Beyond individual applications, the SFC plans to publish several key lists to improve market clarity:
- Licensed Virtual Asset Trading Platforms
- Ceased Operations Platforms
- Deemed Licensed Platforms
- Suspicious or Unregulated Platforms
This tiered disclosure system aims to empower investors with real-time, authoritative information — helping them distinguish compliant platforms from risky or fraudulent operators.
The JPEX fallout underscored the dangers of unregulated platforms targeting retail users. With these new measures, the SFC is reinforcing its role as a proactive gatekeeper — not just enforcing rules, but guiding market evolution.
Frequently Asked Questions (FAQ)
Q: Are any of these four platforms officially licensed yet?
A: No. All four are in various stages of application or review. None have received full SFC licensing as of early 2025.
Q: What does "in-principle approval" mean?
A: It means the SFC conditionally accepts the applicant’s framework. The platform must still meet final requirements before full licensing, typically within 4–6 months.
Q: Who can use these platforms now?
A: Access is generally limited to professional investors. Retail participation will depend on final SFC authorization and platform readiness.
Q: How is HKVAX different from other applicants?
A: HKVAX stands out due to its advanced stage (claimed in-principle approval), experienced leadership, and clear product roadmap for institutional services.
Q: Why is OSL mentioned frequently in relation to Victory Fintech?
A: OSL is a licensed crypto platform that provides backend trading infrastructure to Victory Fintech under a strategic partnership — allowing faster market entry while regulatory approvals progress.
Q: Will more exchanges apply in the future?
A: Yes. While only four are currently listed, other major players like OKX have indicated intentions to submit applications by late 2025.
👉 Stay ahead of licensing updates and track which platforms are closest to full compliance.
Looking Ahead: A New Era for Regulated Crypto in Hong Kong
As Hong Kong rebuilds trust post-JPEX, these four applicants represent a new breed of crypto platforms — rooted in transparency, compliance, and institutional rigor. Their progress signals a maturing market where innovation meets accountability.
For investors, this means safer access to digital assets. For the industry, it sets a benchmark for legitimacy. And for Hong Kong, it reaffirms its ambition to lead Asia’s regulated blockchain economy.
The next 12 months will be pivotal. Watch for official announcements from the SFC — especially on who makes it onto the first published applicant list and which platforms move from in-principle to fully licensed status.
In this evolving landscape, staying informed isn’t optional — it’s essential.