HashKey Exchange, a leading cryptocurrency platform in Asia, is gearing up to launch crypto trading services for retail clients. This new venture is set to kick off on August 28, as confirmed by Livio Weng, the Chief Operating Officer of HashKey.
During a candid interview with The Block, Weng highlighted that the exchange would initially focus on Bitcoin and ether trading. These two cryptocurrencies, the largest in circulation, are believed to cater to most retail investors’ preferences. Moreover, this decision aligns with the company’s strategy to offer tokens that are perceived to have relatively lower risks.
Earlier this month, HashKey made headlines by becoming the first cryptocurrency entity in Hong Kong to secure a license under the city’s revamped licensing system. This new regime grants crypto trading platforms the green light to extend their services to retail customers.
Consequently, HashKey’s move into the retail sector isn’t just timely but a testament to its compliance with regulatory standards.
However, it’s worth noting that both HashKey and the Hong Kong financial regulator are treading cautiously. Weng shared, “In a bearish market scenario, trading altcoins could pose heightened risks.” Hence, their shared sentiment is to adopt a more conservative stance initially.
Additionally, HashKey is actively engaging with local brokerages in Hong Kong. Weng revealed that discussions are underway with approximately five local brokerage firms. To create gateways linked to HashKey’s crypto trading services on these brokerage platforms. Such a move could usher in millions of users, especially those already trading Hong Kong stocks.
Besides its trading services, HashKey has implemented a user-friendly deposit system. Users can seamlessly link their bank cards to make deposits in Hong Kong or U.S. dollars. This streamlined process underscores HashKey’s commitment to offering a hassle-free trading experience.
However, there’s a clear line HashKey won’t cross. Weng explicitly stated that the platform won’t entertain registrations from Chinese mainland users. He emphasized, “We strictly prohibit users with Chinese IP addresses from registering on our platform.”
This decision starkly contrasts Hong Kong’s proactive stance in fostering the crypto and Web3 sectors. Significantly, China took a hard line against crypto transactions in September 2021, banning them outright on the mainland.
Looking ahead, HashKey’s aspirations for its retail services are lofty. Weng expressed optimism about the platform’s growth trajectory. By the close of this year, the exchange aims to boast a registered user base ranging from 500,000 to 1 million. Moreover, anticipating a bullish market in the coming year, HashKey has set an ambitious target. By 2025, they hope to serve a staggering 10 million users.
HashKey Exchange’s foray into retail crypto trading is pivotal in Hong Kong’s crypto landscape. With a blend of strategic partnerships, user-centric services, and regulatory compliance, the exchange is poised to make significant inroads in the retail sector. Only time will tell how this venture reshapes the crypto trading dynamics in the region.
