The list of cryptocurrency platforms that want to obtain new cryptocurrency trading licenses in Hong Kong is getting longer. After Huobi decided to launch its local exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term in the region, Gate Group's owner of the Gate.io trading brand made a similar announcement.

Gate.io wants to apply for trading authorization in Hong Kong and to launch a new Gate HK platform designed to meet local regulations and growing customer demand.

Gate.io to Open Gate HK

According to Finance Magnates' report on Monday, starting from 1 June 2023, any centralized virtual asset trading platform that operates in Hong Kong or caters to Hong Kong investors will be required to acquire a license from the SFC under a newly introduced licensing framework.

In a related development, Gate Group has announced its intention to apply for local cryptocurrency authorization through its Hong Kong-based Hippo Financial Services Limited (Hippo FS). The company had already successfully obtained a Trust or Company Service Provider (TCSP) License. TCSP allows Hippo FS to provide crypto assets custodial services to a global user base.

Dr Han Lin, the Founder of Gate Group, wrote in a Twitter post that he is excited about expanding the exchange's operations in Hong Kong.

Very excited about Hong Kong. Having obtained the TCSP License in HK, Gate Group is also preparing for a crypto license and fine tuning Gate HK, a new entity tailored to serve HK’s growing crypto market, stay tuned.

— Lin Han (@han_gate) February 21, 2023

"Hong Kong is a global strategic market for Gate Group, not only because Hong Kong is the hub for many financial institutions and investors, but more importantly, the industry-leading regulatory regime of Hong Kong helps boost confidence for the whole industry and provides additional stability for investors," Lin added.

Moreover, Hippo FS has allocated resources to establish teams that will oversee local operations and guarantee the safety of its service infrastructure as well as its clients' assets. Gate Group's forthcoming launch of Gate HK represents a significant stride towards advancing blockchain and virtual asset adoption.

Watch the recent FMLS22 panel discussion on: "Crypto Hub in the Making: A Fireside Chat with MP Lisa Cameron."

Gate.io Expansion in Turkey and USA

A few months before, Gate.io's United States subsidiary, Gate US, announced it had received multiple state licenses, thus gaining permission to operate a crypto exchange in a larger part of the country.

Despite obtaining new licenses, the regulatory process is ongoing, and the local crypto exchange has yet to launch its services for US customers. According to the latest information from December, the service may not initially be available to residents of several states, including New York, Puerto Rico and Hawaii.

In the meantime, Gate.io launched a new cryptocurrency exchange Cryptocurrency Exchange A cryptocurrency exchange is an online platform that supports the exchange of various currencies for a cryptocurrency or digital asset.Comparable to a generalized financial exchange, a crypto exchange’s core function is to permit and encourage the buying and selling of cryptos.This is accomplished by producing a stable trading environment suitable for traders nested through different locations around the world. Sometimes a crypto exchange may be referred to as a digital currency exchange (DCE) f A cryptocurrency exchange is an online platform that supports the exchange of various currencies for a cryptocurrency or digital asset.Comparable to a generalized financial exchange, a crypto exchange’s core function is to permit and encourage the buying and selling of cryptos.This is accomplished by producing a stable trading environment suitable for traders nested through different locations around the world. Sometimes a crypto exchange may be referred to as a digital currency exchange (DCE) f Read this Term, GateTR, tailored to Turkey's cryptocurrency market. It responded to the enormous interest in cryptocurrencies in the country, where eight million people are actively involved in digital assets trading.

Hong Kong May Allow Retail Crypto Trading

The rising interest in crypto trading platforms to set up local exchanges in Hong Kong are primarily due to regulatory changes and the increasing possibility of permitting retail investors in the region to trade cryptocurrencies.

Recently, SFC started a period of public consultation regarding regulating crypto trading platforms. During the consultation period, SFC specifically requests input on whether licensed platform operators should serve retail traders.

A week before the SFC announced its regulatory plans, publicly-listed electronic trading firm Interactive Brokers revealed that it was expanding its cryptocurrency activities to the Asian market, offering to trade digital assets in Hong Kong.