Since the beginning of the year, Hong Kong-based HashKey exchange has officially implemented new regulations to comply with travel regulations.

Hong Kong-based HashKey exchange has officially integrated new rules to comply with travel regulations, which apply to virtual asset service providers (VASPs), including cryptocurrency exchanges. This regulation is in line with international standards set by the Financial Action Task Force (FATF).

HashKey’s changes come amid a slew of legislative proposals that will require domestic exchanges to focus on compliance in Hong Kong.

HashKey adjusts compliance rules

The change will significantly adjust the platform’s deposit and withdrawal processes, particularly interactions with third-party exchanges. HashKey originally planned to include 24 exchanges in this update, but has limited the integration to Binance, following last month’s release.

Therefore, HashKey will only support virtual asset deposits from Binance Global as of January 1st. However, deposits from other exchanges besides Binance will not be supported, although HashKey intends to gradually expand this list.

The withdrawal process is also changing. The update retains the current whitelisting process but invalidates previously approved withdrawals to exchanges other than Binance. Importantly, addresses that were previously whitelisted on Binance do not need to be re-verified.

HashKey Exchange emphasized the importance of ensuring that all third-party exchanges comply with the newly mandated deposit and withdrawal arrangements after January 1, 2024.

Hong Kong proposes a series of legislative proposals

Meanwhile, Hong Kong is introducing new regulations for stablecoins, including a compulsory licensing system. The Hong Kong Monetary Authority and the Secretary for Financial Services and Finance jointly proposed the regulations, which aim to regulate the growing stablecoin market in the region. The initiative aims to create a comprehensive regulatory framework.

The region is also making it easier for retail investors to participate in cryptocurrency ETFs. Although the global trend is towards cryptocurrency spot ETFs, Hong Kong welcomes such products but still maintains strict regulatory and compliance standards. #以太坊测试网 #以太坊升级