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A major earthquake in B circle!
The OTC stores in Hong Kong are about to undergo a complete reshuffle.
The wave of offline store closures is coming one after another!
The Hong Kong FSC and FSTB jointly announced: All cryptocurrency OTC trading platforms will be fully incorporated into the licensing management system.
In simple terms, all OTC stores in Hong Kong will need to obtain a digital asset trading license in order to operate in compliance.
New regulations have no transition period; existing unlicensed operators must cease operations immediately, otherwise they will face a maximum fine of 5 million HKD and up to 7 years in prison.
In addition, the previously commonly used MSO license will no longer be valid, and existing OTC shops must reapply for a license and meet the following conditions:
•Establish an asset separation mechanism
• Set up hot and cold wallets
•Implement user funds supervision
• Implement transaction monitoring and reporting mechanisms