Hong Kong VASP refers to the abbreviation of Virtual Asset Service Provider in Hong Kong, which refers to enterprises that can legally provide virtual asset-related services in Hong Kong. These services include but are not limited to cryptocurrency trading, wallet services, token issuance, and asset management. Applying for a Hong Kong VASP license means that the company can operate in compliance with regulations in Hong Kong and provide services in the virtual asset field to clients.
The advantages of a Hong Kong VASP license include:
Legality and regulation: Holding a VASP license means that the company's operations in Hong Kong are legal and regulated, which enhances trust from clients.
Market access: A VASP license allows the company to enter the virtual asset markets in Hong Kong and internationally, providing opportunities for business expansion.
Reputation and credibility: Obtaining regulatory approval can strengthen the company's reputation, attracting more clients and partners.
Compliance: Licensed companies need to comply with relevant laws and standards, helping to prevent money laundering, market manipulation, and other illegal activities.
The conditions for applying for a Hong Kong VASP license include the following key points:
Company establishment: The company can be established in Hong Kong with a fixed place of business or registered as a non-Hong Kong company outside of Hong Kong under the Hong Kong Companies Ordinance.
Suitable candidates: Applicants need to meet a series of suitability requirements for responsible persons, directors, and ultimate owners.
Capital requirements: The registered capital must be HKD 5 million or above, and the liquid capital must be HKD 3 million or above.
Submission of application: Applicants need to submit an application to the Securities and Futures Commission (SFC) according to the VASP guidelines, providing relevant information and documents.
Conditions and process for applying for a Hong Kong VASP license: According to the latest VASP regulations, applicants need to meet certain conditions to obtain a Hong Kong VASP license. Under the amended Section 53ZRK, the SFC will only issue VASP licenses to applicants who meet the following conditions:
Company establishment: The applicant can be a company established in Hong Kong with a fixed place of business or a non-Hong Kong company registered under the Hong Kong Companies Ordinance.
Suitable candidates: The applicant must meet the SFC's criteria for suitable candidates. This includes the suitability of the applicant as a virtual asset service provider, the suitability of at least two responsible persons, the suitability of directors, and the suitability of the ultimate owner of the applicant corporation.
Capital requirements: The applicant's registered capital must be HKD 5 million or above, and the liquid capital must be HKD 3 million or above.
Submission of application: The applicant needs to submit an application to the SFC according to the detailed guidelines of VASP. These requirements include provisions for suitable candidates, competency, financial soundness, etc.
Applicants need to prepare application materials and submit an application to the SFC according to the VASP guidelines. These materials need to cover background information of the company and suitable candidates, financial statements, business plans, etc. Applicants also need to comply with requirements similar to other similar applications under the Securities and Futures Ordinance, including provisions for ongoing training, financial soundness, client asset protection, network security, etc.