Hong Kong, a major financial center with a growing interest in cryptocurrency, is experiencing changes in regulations. The SFC has taken a strong stance, pressuring unlicensed crypto businesses to leave the market and increasing regulations on those applying for licenses. Further reading: Is there a shift in power occurring? The President of NYSE recognizes that Bitcoin’s endurance is significant despite being unregulated.

Hong Kong, a major financial center with a growing interest in cryptocurrency, is experiencing changes in regulations. The SFC has shown its authority by compelling unlicensed crypto businesses to leave the market and increasing regulatory scrutiny on those applying for licenses. The president of the New York Stock Exchange recognizes that Bitcoin will continue to remain significant. Unregistered exchanges are being forced to shut down. Until not too long ago, Hong Kong had a regulatory framework for cryptocurrency that was relatively lenient. This led to a surge in the number of cryptocurrency exchanges, some of which engaged in questionable practices. In response to the chaotic environment, the SFC introduced a licensing system in February 2024. The deadline for unlicensed exchanges to comply passed on May 31st, leading to a large number of exchanges leaving the market. Major companies such as Bybit, GateHK, and Huobi Hong Kong were either compelled to cease operations or exit the area altogether due to the crackdown, which is intended to safeguard investors from fraudulent activities and scams.