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Hong Kong exchange HashKey will open retail trading, promote zero fees, and launch trading mining activities.

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Hong Kong exchange HashKey will open retail trading, promote zero fees, and launch trading mining activities.

Hong Kong exchange HashKey announced that its license has been renewed by the Hong Kong regulatory authority, allowing it to provide services to retail investors. HashKey has also launched activities such as zero transaction fees and trading mining to earn HashKey's ecosystem points, HSK.

HashKey: Hong Kong's First Retail-Compliant Exchange

According to the announcement, HashKey has stated that the Securities and Futures Commission (SFC) of Hong Kong has granted an update to its exchange license, upgrading it for Type 1 and Type 7 licenses. This allows HashKey to operate a virtual asset trading platform in accordance with Hong Kong securities laws, permitting its trading services to cover both institutional investors and retail clients.

Livio Weng, Chief Operating Officer of HashKey Group, stated:

The opening up of Hong Kong's crypto industry to investors is a positive step. With licensed trading platforms in Hong Kong and a clearer regulatory framework in the future, the overall transparency of the crypto industry will continue to improve, thereby increasing investor confidence.

HashKey Launches OTC Trading Service on the Same Day

HashKey also announced the launch of HashKey Brokerage, claiming to be a compliant Over-the-Counter Bulk Trading platform in Hong Kong.

This will provide investors and high-net-worth users with high liquidity for bulk trading.

Features of HashKey Exchange

Regular Audits by Four Major Audit Firms

HashKey emphasized several points in the announcement:

  • Regular Audits: Regular audits and compliance reviews by four major audit firms

  • Support for Fiat Currency In/Out: Collaboration with commercial banks including note-issuing banks in Hong Kong

  • User Asset Segregation: 98% of crypto assets stored in cold wallets, 2% in hot wallets

Note: According to the Hong Kong Monetary Authority, note-issuing banks in Hong Kong include Hongkong and Shanghai Banking Corporation, Standard Chartered Bank Hong Kong, and Bank of China Hong Kong, but the announcement does not specify.

Prohibition of Users from China, the U.S., and Japan

According to the registration instructions on the official website, users from sanctioned countries are prohibited from registering, and users from China, Japan, and the U.S. are also excluded. However, as described, users from these countries can still be verified if they provide proof of address from another country and a phone number.

Currently, only professional investors are verified, and online KYC support is not yet available.

Zero Transaction Fees for a Limited Time on HashKey

Withdrawal fees may temporarily be a source of revenue for HashKey, with custody fees initially being free and potentially another source of revenue in the future.

HashKey officially launched a zero fee spot trading activity in mid-July, with the deadline to be notified separately.

High Withdrawal Fees on HashKey

Deposit fees are free compared to typical crypto exchanges.

However, in terms of withdrawal fees for USDT, Binance currently charges 3.67 USDT for withdrawals on the Ethereum network, while HashKey charges 16.4 USDT, approximately five times higher than Binance.

Trading Pairs on HashKey

Compared to typical crypto exchanges, HashKey has relatively fewer trading pairs, with SPiCE being a tokenized security token launched by venture capital firm SPiCE.

Trading Mining Activity on HashKey

According to the announcement, HashKey's ecosystem points (HSK) will be used to reward users for activities. However, from the content of the announcement, the rewards may be more geared towards large holders and professional market makers rather than retail investors.