Chinese-funded brokerage firms first approved for Hong Kong virtual asset trading service license

On June 25, 2025, Guotai Junan International Holdings Limited announced that its wholly-owned subsidiary Guotai Junan Securities (Hong Kong) Limited has successfully upgraded its Type 1 (Securities Dealing) regulated activity license and is authorized to provide virtual asset trading services. This marks the company as the first Chinese broker approved by the Hong Kong Securities and Futures Commission to offer comprehensive virtual asset trading services in Hong Kong.

This license upgrade enables Guotai Junan International to provide clients with direct trading services for mainstream cryptocurrencies and stablecoins such as Bitcoin, Ethereum, and Tether. This news has sparked a strong market reaction, with the company's stock price rapidly rising after the opening, reaching a peak increase of over 100% during the session, reflecting investors' high recognition of this strategic breakthrough.

At the same time, Huashan Co., which holds a large number of circulating shares of Guotai Junan International, was also positively impacted, with its stock price rising more than 8% during the trading session, indicating the market's general optimism towards the virtual asset trading sector.

This milestone development is an important embodiment of Hong Kong's strategy to build a global core hub for virtual assets. Since the release of relevant policy declarations in 2022, Hong Kong has established a regulatory framework that encourages innovation while balancing risk prevention through a series of measures, such as regulating virtual asset trading platforms, issuing tokenized green bonds, and approving virtual asset spot ETFs.

At the beginning of 2025, the Hong Kong Securities and Futures Commission further clarified its policy direction to support the development of the virtual asset market. The "Stablecoin Regulation Draft" passed in May is seen as a key step for Hong Kong to integrate into the global digital asset ecosystem. Analysts believe that Hong Kong is leveraging the innovative collaboration and open market advantages of the Guangdong-Hong Kong-Macao Greater Bay Area to accelerate the consolidation of its global virtual asset hub status.

Guotai Junan International has been approved for a broad range of licenses, including providing virtual asset trading services, related professional advice, and the issuance and distribution of products related to virtual assets. This makes it the first Hong Kong-based Chinese brokerage able to offer comprehensive virtual asset trading services, covering various aspects such as brokerage business, consulting services, and product issuance.

In fact, the company has long been laying out its strategy in the virtual asset field. Previously, it launched related products for virtual asset spot ETFs, was authorized to conduct virtual asset trading platform introduction agent business, and obtained permission to distribute tokenized securities. This license upgrade has improved the company's virtual asset business ecosystem, achieving a comprehensive layout from product design to trading services and consulting support.

Industry insiders believe that in the future, more brokerage firms with international business may complete similar license upgrades, further improving the ecosystem of the virtual asset market in Hong Kong. The participation of leading brokerages will promote the continuous development of the cryptocurrency and virtual asset trading ecosystem in Hong Kong.

Globally, traditional financial institutions are entering the virtual asset industry on a large scale. Several well-known brokerages have begun offering cryptocurrency trading services to clients, asset management giants have launched Bitcoin spot ETFs, and institutions in Hong Kong have developed innovative products such as tokenized currency funds. Furthermore, the listing of virtual asset companies and industry mergers and acquisitions have also brought new business opportunities to brokerages.

Although the virtual asset market has a broad outlook, its high volatility also poses higher demands on investors. The professional consulting services provided by Guotai Junan International will help clients better understand market dynamics and make informed investment decisions. The company also reminds investors to exercise caution when trading the company's securities.