Hong Kong Issues Warning on Bybit Crypto Exchange
The Securities and Futures Commission of Hong Kong has recently issued a cautionary notice regarding the activities of Bybit, a cryptocurrency exchange, effective March 14.
The regulatory body has highlighted concerns regarding Bybit’s operation as an unlicensed virtual asset trading platform (VATP), offering crypto-related trading services across various jurisdictions.
The warning encompasses a range of products provided by Bybit, including Bybit Futures, Bybit Options, Bybit Leveraged Tokens, Dual Assets, Bybit Lending, and Bybit Wealth Management, among others.
Emphasizing that no entity within the Bybit group holds a license or registration with the SFC for conducting regulated activities in Hong Kong, the regulator underlines the potential risks associated with these offerings for investors in the region.
It’s important to note that crypto-related products, such as futures contracts or securities, necessitate prior licensing from the SFC to be offered to residents of Hong Kong.
The warning specifically mentions the website bybit.com and its owner, Bybit Fintech Limited registered in Seychelles, distinguishing it from bybit.com.hk, a domain under Spark Fintech Limited, which currently does not provide crypto services in Hong Kong.
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Earlier reports indicated Bybit’s pursuit of a virtual asset trading operator (VATP) license in Hong Kong through its subsidiary, Spark Fintech Limited. Presently, only two crypto exchanges, namely the OSL exchange licensed on December 15, 2020, and HashKey Exchange licensed on November 9, 2022, hold SFC approval in Hong Kong.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
