Digital asset management firm HashKey Group announced it has obtained approval from the Securities and Futures Commission of Hong Kong (“SFC”) to carry on an off-platform virtual asset trading business out of (“OTC”) for Hash Blockchain Limited (“HBL”).

This approval allows HashKey to act as an intermediary for its clients and  trade tokens that are not listed on the exchange's order book.

Michel Lee, Executive President of HashKey Group said that the SFC’s approval would allow the trading firm to provide its clients with more investment options in a secure and transparent environment.

  "We are thrilled to receive the approval from the SFC," said Michel in the announcement. "Our experience with the OTC business has been valuable, and this approval now provides clients with an option to face an entity that is licensed in Hong Kong. As we continue to prepare for the launch of HashKey PRO – our regulatory compliant virtual assets exchange, we are excited to be able to offer more products in the pipeline."

 "A regulated exchange can make a difference in the OTC market in Hong Kong to provide a more secure and transparent environment for investors to trade digital assets, compared to the often opaque and unregulated nature of the OTC business. HashKey PRO is committed to fostering greater trust and confidence among investors. This, in turn, can help attract a broader base of participants to the market and facilitate the mainstream adoption of digital assets."   HBL CEO Colin Zhong added.

The SFC has granted approval to the HashKey Group's subsidiary, HBL, to operate a virtual asset trading platform for professional investors. This approval includes a Type 1 licence, which allows dealing in securities, and a Type 7 licence, which permits the provision of automated trading services.