The Hong Kong financial landscape is undergoing a transformative shift as traditional brokerages increasingly integrate cryptocurrency services into their offerings. Fueled by regulatory clarity and growing investor demand, this convergence of finance and blockchain technology has sparked a surge in market activity — with early movers like Victory Securities capturing significant investor attention.
On June 24, 2025, Guotai Junan International (01788.HK) became the first mainland-backed securities firm to receive full virtual asset licensing approval from the Hong Kong Securities and Futures Commission (SFC). This landmark development allows the firm to offer crypto trading, advisory services, and product issuance — including direct access to Bitcoin, Ethereum, and stablecoins, as well as over-the-counter derivatives and tokenized securities.
👉 Discover how leading financial platforms are integrating crypto trading with traditional investing.
The news catalyzed a rally across Hong Kong-listed brokerage stocks. Victory Securities (08540.HK) led the charge with a staggering 53.23% surge, briefly touching HK$6.00 — its highest level in two and a half years. Guotai Junan International rose 24.59%, while Delin Holdings (01709.HK) gained over 10%. The momentum reflects strong market confidence in firms positioning themselves at the forefront of digital asset innovation.
Victory Securities: From Niche Player to Market Leader
Victory Securities may not be a household name among retail investors, but its rapid ascent signals a broader trend: agility and foresight are now key drivers of growth in finance. The company operates through three core divisions via its subsidiaries, primarily focused on online securities brokerage services delivered across multiple digital platforms.
What sets Victory Securities apart is its early and aggressive entry into the crypto space. According to data from Hong Kong’s largest volume-licensed virtual asset exchange, the firm achieved over HK$10 billion in trading volume between April 1, 2024, and March 31, 2025 — the highest among local brokerages during that period. This milestone solidified its position as a leader in Hong Kong's emerging virtual asset brokerage sector.
Such performance underscores how nimble financial institutions can leverage niche opportunities to outpace larger competitors. As retail and institutional appetite for digital assets grows, firms that offer seamless integration between traditional and crypto markets stand to gain substantial market share.
Expanding Ecosystem: Which Brokerages Are Entering the Crypto Space?
As of June 24, 2025, 40 institutions in Hong Kong have been approved to upgrade their Type 1 licenses to include virtual asset trading services. Among them are prominent names such as TF International, HF Securities (Harf), Futu Securities (Moomoo), and ZhongAn Bank.
Several major Chinese financial institutions are also in the pipeline. CITIC International, Haitong International, and China Merchants Securities International are actively applying for regulatory approval, with expectations that they will launch services within the year. This growing cluster of licensed players is expected to enhance market depth and drive innovation across asset management, custody, and trading infrastructure.
Futu Securities made headlines in early May by enabling deposit and withdrawal functions for BTC, ETH, and USDT — marking the first time investors could seamlessly transfer crypto assets within an integrated account that also holds stocks and funds. While retail users can trade BTC and ETH directly, USDT transactions are currently restricted to institutional clients or accredited investors with at least HK$8 million in assets.
Tiger Brokers followed suit by launching a "zero-fee" promotion for virtual asset trading — waiving both commissions and platform fees — further intensifying competition in this rapidly evolving space.
Why Crypto Matters for Traditional Brokerages
The integration of digital assets into conventional brokerage models isn't just about adding another tradable instrument — it represents a strategic pivot toward future-ready financial ecosystems.
According to Donghai Securities, traditional brokerages entering the crypto space can attract high-net-worth individuals and institutional capital seeking compliant pathways to allocate funds into digital assets. This inflow enhances overall market liquidity and opens doors to new product development.
Two key growth areas are emerging:
- Structured Products: Financial instruments linked to crypto performance, such as yield notes or capital-guaranteed products tied to Bitcoin or Ethereum indices.
- RWA (Real World Asset Tokenization): Converting physical assets like real estate, bonds, or private equity into blockchain-based tokens that can be traded more efficiently and transparently.
These innovations align with broader trends in decentralized finance (DeFi) and institutional-grade blockchain adoption.
Regulatory Clarity Drives Growth
A major catalyst behind this transformation is Hong Kong’s clear regulatory framework. In February 2025, the SFC unveiled its “A-S-P-I-Re” roadmap — a comprehensive strategy outlining the phased development of the city’s virtual asset ecosystem:
- Access: Establishing clear entry requirements for firms
- Stability: Ensuring market integrity and investor protection
- Product Innovation: Encouraging new financial instruments
- Infrastructure: Building robust custody and settlement systems
- Real-world Applications: Promoting tokenization of tangible assets
This forward-looking policy environment positions Hong Kong as a potential global hub for virtual asset finance. Analysts project that the city’s digital asset market could exceed HK$150 billion in value by the end of 2025.
However, risks remain. As highlighted by CITIC Securities, while Hong Kong provides a compliant gateway for international investors, challenges persist around price volatility, cybersecurity threats, and cross-border regulatory misalignment. Moreover, mainland China continues to prohibit cryptocurrency trading, necessitating strict operational separation between domestic and offshore businesses.
Frequently Asked Questions
Q: Can all Hong Kong brokerages offer crypto trading?
A: No — only firms that have obtained license upgrades from the SFC under the revised Type 1 license regime can legally provide virtual asset trading services.
Q: Is crypto trading safe under Hong Kong-regulated brokerages?
A: Regulated platforms must comply with strict custody rules, anti-money laundering protocols, and capital adequacy standards — significantly reducing counterparty risk compared to unregulated exchanges.
Q: Can mainland Chinese investors use these services?
A: Direct participation is restricted due to China’s ongoing ban on crypto trading. However, offshore entities and qualified overseas investors may access these platforms through compliant channels.
Q: What cryptocurrencies are available for trading?
A: Major offerings include Bitcoin (BTC), Ethereum (ETH), and select stablecoins like USDT. Availability varies by platform and investor classification.
Q: Are there tax implications for crypto trading in Hong Kong?
A: As of 2025, Hong Kong does not impose capital gains tax on personal crypto investments, though commercial trading activities may be subject to profits tax.
Q: How do brokerages ensure security for digital assets?
A: Licensed firms partner with insured custodians, employ multi-signature wallets, cold storage solutions, and undergo regular audits to safeguard client holdings.
The Road Ahead
Hong Kong’s push to become an international virtual asset hub is gaining traction. With supportive policies, increasing institutional participation, and technological innovation, the city is carving out a unique role in the global fintech landscape.
For brokerages, embracing crypto is no longer optional — it's a strategic imperative. Firms like Victory Securities are proving that early adoption can translate into tangible market leadership.
As the boundary between traditional finance and digital assets continues to blur, investors should watch for further integration of tokenized stocks, DeFi yield products, and cross-chain financial services — all within a regulated framework designed to build trust and scale sustainably.
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