The virtual asset management provider HashKey Capital Limited has secured both Type 4 and upgraded Type 9 licenses from the Securities and Futures Commission (SFC), becoming the first licensed corporation to offer a complete suite of securities and virtual asset management and advisory services to retail investors in Hong Kong.
Representatives of the company told Finance Magnates that this move aims to position HashKey Capital as one of the leading cryptocurrency firms operating in the region.
The Type 4 license, obtained under license number BOP237, authorizes HashKey Capital to provide securities and virtual asset advisory services, subject to conditions such as due diligence and investor knowledge assessments.
https://t.co/ervI3yxvKy
— HashKey Capital (@HashKey_Capital) May 13, 2024
This milestone follows the firm’s successful Type 9 license upgrade earlier this year, which allowed it to manage virtual asset investment products for retail investors.
Jupiter Zheng, the Research Director at HashKey Capital
“We are now the only entity with double licensure in Hong Kong,” Jupiter Zheng, the Research Director at HashKey Capital, explained to Finance Magnates. “This means we can offer a full suite of products and services for retail and institutional investors.”
As he emphasized, the company offers several different products, which can be brought together thanks to the dual license. Among them are in-house fund offerings, investment product advisory, research reporting, and investor education in digital assets.
“For TradFi investors, these licenses increase confidence in our ability to bring compliant investment services to the public,” added Vivien Wong, the Partner Liquid Fund at HashKey Capital.
A month ago, the Asian firm also introduced the HashKey Global exchange after obtaining a license in Bermuda to offer regulated digital asset trading services.
Suitability Test
To access HashKey Capital’s virtual asset advisory services, all clients must pass a suitability test, which helps the firm understand investors’ financial status, geopolitical status, investment perspective, and risk tolerance
Vivien Wong, the Partner Liquid Fund at HashKey Capital
“All clients, whether they are retail or institutional investors, must pass a suitability test, before HashKey Capital can perform its virtual assets advisory services to them,” Wong, added. “The suitability test will help HashKey Capital to understand the financial status and can determine which kind of advice to be delivered to them.”
As she emphasized, additional tests will be conducted regularly, and KYC procedures will be carried out for their investors.
The latest moves follow the introduction of the Bosera HashKey Bitcoin and Ether spot ETFs, managed by Bosera Asset Management (International) Co., Limited, with HashKey Capital Limited serving as the sub-investment manager.
Since its inception, HashKey Capital has managed over $1 billion in client assets and has made more than 500 investments in infrastructure, tools, and applications