DFX Labs Advances toward Hong Kong Crypto License with AMLO Clearance

Hong Kong-based crypto trading platform DFX Labs has made strides toward obtaining a full operational license within the region. The platform achieved clearance under Hong Kong’s Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO).

Trading Authorization Pending

According to public records maintained by Hong Kong’s Securities and Futures Commission (SFC), DFX Labs has been acknowledged as "deemed to be licensed for providing the virtual asset service." This status, however, does not extend to authorization for crypto trading services.

The SFC explicitly stated that while DFX Labs holds an active AMLO license, it has not yet been granted a trading license, and its application remains pending.

DFX Labs submitted its application for the Hong Kong crypto license on December 27, 2023, listing Simon Au Yeung as the primary applicant. The platform was deemed to be licensed for its virtual asset service as of June 1.

Despite these developments, DFX Labs' website continues to operate as an unlicensed virtual asset platform and is inaccessible to Hong Kong residents.

DFX Labs nears full operational license in Hong Kong, awaits final approval for crypto trading

Hong Kong-based crypto trading platform DFX Labs is nearing the acquisition of a full operational license in the region, having secured clearance under the Anti-Money Laundering and…

— CoinNess Global (@CoinnessGL) June 25, 2024

Promoting Offshore Hub

In related news, three Hong Kong government entities—the Hong Kong Economic and Trade Office in Toronto (Toronto ETO), Invest Hong Kong (InvestHK), and StartmeupHK (SMUHK)—recently collaborated to promote Hong Kong as an offshore technology hub Hub A hub as its name suggests describes the center of activity or a focal point. In terms of finance, the term hub can refer to Hub and Spoke Trading or a liquidity hub. However, the terms are not interchangeable, but they do overlap. Hub and Spoke trading refer to a network that posts bids and offers for an asset and therefore creates a real market. For example, Hub and Spoke trading allow traders to see the other submissions and offers from other traders on the platform. This is a popular method A hub as its name suggests describes the center of activity or a focal point. In terms of finance, the term hub can refer to Hub and Spoke Trading or a liquidity hub. However, the terms are not interchangeable, but they do overlap. Hub and Spoke trading refer to a network that posts bids and offers for an asset and therefore creates a real market. For example, Hub and Spoke trading allow traders to see the other submissions and offers from other traders on the platform. This is a popular method Read this Term suitable for Canadian crypto and Web3 startups.

This effort was highlighted at a conference in Toronto, where Emily Mo, Director of Toronto ETO, emphasized Hong Kong’s supportive regulatory environment for startup Startup A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is c A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is c Read this Term ventures, citing advantages such as lower taxes compared to Canada.

Earlier in May, all crypto exchanges operating without a license in Hong Kong were mandated to cease operations. Several global exchanges, including OKX, Huobi HK, and Bybit, withdrew their license applications amid regulatory uncertainties.