Hong Kong-based asset manager HashKey Capital has expanded its regulatory footprint after securing a Type 1 license from the city’s Securities and Futures Commission (SFC). The approval allows the firm to offer brokerage services to retail and professional investors, broadening its scope in the digital asset space.
As per reports, HashKey Capital already holds a Type 9 license, which enables it to provide asset management services to both retail and institutional clients. The firm has also received approval for discretionary account management for virtual assets under the same license. Additionally, its Type 4 license, obtained in May last year, allows it to offer investment advisory services for securities and virtual assets.
With the latest authorization, HashKey Capital can market and distribute investment funds and structured products, including those tied to virtual assets. The firm emphasized that the expansion aligns with its mission to provide regulated digital asset investment solutions while maintaining a strong focus on risk management and long-term growth.
Vivien Wong, Partner of Liquid Funds at HashKey Capital, highlighted the significance of the new license, stating,
“The Type 1 license enhances our capabilities and provides significant value to investors. It enables us to offer a broader range of investment opportunities, catering to different risk preferences with a strong focus on risk management and long-term growth.”
The firm’s expanded offerings are classified into three primary categories: market access, investment funds, and structured products. In terms of market access, HashKey Capital can now bridge traditional finance (TradFi) clients to crypto exchanges and provide brokerage services for crypto-native investors. Importantly, the firm clarified that it will not hold custodianship over client assets.
On the investment funds front, HashKey Capital will extend its range beyond existing products like the HashKey FTSE Digital Asset Top 20 Index Fund and its two exchange-traded funds (ETFs). It now plans to introduce quantitative strategies such as arbitrage trading, commodity trading advisory (CTA), market-neutral strategies, and trend-following approaches.
Structured products will also be a key area of growth, offering investors options including principal-protected solutions, yield enhancement products, binary options, and dual-currency strategies. These financial instruments cater to diverse investment goals, such as capital preservation and hedging against market fluctuations.
Beyond retail and institutional investors, HashKey Capital sees potential in distributing its products through family offices, insurance companies, and endowments that are exploring digital assets for the first time.
Wong underscored the importance of increasing accessibility in the space, adding,
“Financial inclusion is now rarely discussed in crypto, but that is what will be created. We will open virtual assets to investors who have thus far been excluded from them due to technical or other limitations. This accessibility will help mainstream crypto in Hong Kong, accelerating its bid to be a hub for virtual assets in the region.”
The firm’s regulatory advancements come as Hong Kong strengthens its push to establish itself as a global digital asset hub. HashKey Capital has already launched the HashKey Top 20 Index Fund, which has outperformed competing crypto index funds.
With SFC approval to develop new investment vehicles, the firm plans to collaborate with financial institutions worldwide to introduce more institutional-grade digital asset products throughout the year.
Industry observers, including Fox Business journalist Eleanor Terrett, have noted the increasing regulatory developments in Hong Kong as a sign of the region’s commitment to fostering a structured digital asset ecosystem. The coming months are expected to bring further initiatives aimed at integrating traditional finance with the growing crypto sector.
Editorial Note: This news article has been written with assistance from AI. Edited & fact-checked by the Editorial Team.
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