HashKey OTC scores in-principle approval in Singapore

Hang Seng Ponders Crypto Product OfferingHang Seng Investment Management Co., the largest exchange-traded fund (ETF) manager in Hong Kong, is considering entering the decentralized ecosystem.According to a report in local news media in Hong Kong on Wednesday, Li Peishan, the firm’s Director and Executive President, stated that Hang Seng is paying close attention to the development of digital assets. She clarified that the company is examining the possibility of including digital assets within its existing investment product offering.Photo by Jonathan Borba on UnsplashCrypto ETF expansionThis news comes shortly after HSBC, one of the largest banks in Hong Kong, introduced Bitcoin (BTC) and Ethereum (ETH) ETFs to its customers, becoming the first bank in the region to do so. This development has opened up possibilities for greater cryptocurrency adoption in the area.While most people in the space recognize that the authorities in the US have gone too far in their clampdown on the digital assets space, it’s interesting to note that recent weeks have seen a plethora of established TradFi players filing Bitcoin spot ETF applications. That list includes the world’s largest asset manager, BlackRock, multinational financial services firm Fidelity Investments, WisdomTree, VanEck, and others.Assessing potentialPeishan stated that while the company does not have a specific plan to develop a crypto ETF, Hang Seng is actively assessing the potential of incorporating digital assets into their existing investment products. She highlighted the remarkable growth in the average daily asset management scale, which has surged by 80% since December and has surpassed HK$12 billion.On June 24, Leung Fung Yee, the CEO of the Securities and Futures Commission of Hong Kong (SFC), emphasized the importance of crypto service providers embracing the next generation of the web and finance. He expressed Hong Kong’s ambition to establish itself as the central hub for crypto companies, fostering innovation within the region.Responding to Yee’s statement, the Hong Kong Virtual Assets Consortium (HKVAC) announced the inclusion of XRP, SHIB, and ADA in its newly developed HKVAC index. The creation of the HKVAC index aims to assist investors in analyzing the potential of cryptocurrencies and gaining insights into their prospects.The digital assets landscape in Hong Kong is evolving rapidly, driven by increasing interest in the asset class and the recognition of their transformative potential. Hang Seng Investment Management’s exploration of the decentralized ecosystem signifies the growing demand for exposure to cryptocurrencies among traditional financial institutions.TradFi IntegrationThe introduction of Bitcoin and Ethereum ETFs by HSBC represents a significant milestone in the adoption of cryptocurrencies within the traditional banking sector. This recent indicator from Hang Seng suggests that we are likely to see more developments unfold within the ETF space in Hong Kong in the not-too-distant future where digital assets are concerned. That view is further endorsed by the findings of a recent report produced by the Hong Kong Stock Exchange, pointing to the yet-to-be-realized potential of crypto ETFs.As the industry continues to mature, the integration of digital assets into traditional investment products is likely to become increasingly common, leading to a more diversified and inclusive financial ecosystem.

KISA Seeks Partners for Regional Blockchain Innovation Support Center ProjectThe Korea Internet & Security Agency (KISA) announced on Monday (local time) that it is working with the Ministry of Science and ICT to recruit metropolitan local governments to participate in the 2024 Regional Blockchain Technological Innovation Support Center Establishment Project, which seeks to aid the balanced development of the nation’s blockchain industry and the exploration of technology and services.Photo by Shubham Dhage on UnsplashWith the establishment of the support center, KISA plans to seek out blockchain services linked to regional industries and provide support for the development of blockchain technology and services to foster local businesses.Funding opportunities and application processThe metropolitan local governments selected for this project will be able to leverage KRW 1.8 billion (approximately $1.3 million) in government funding as well as regional expenses to pursue activities such as verifying related services and supporting blockchain and service development through incubation, workforce training, investment endorsement and legal consultations.Applications are open to 14 metropolitan local governments nationwide, excluding those in the country’s largest cities, Seoul, Busan and Daegu. Each applicant is required to form a consortium with one local information technology and communication (ICT) organization that the government invested in or funded and submit their applications through the KISA website by December 5 at 4 p.m. KST.Envisioning the future of Korea’s blockchain industryKISA President Lee Won-tae expressed his hopes that the support centers would become central hubs for blockchain technology within regions nationwide, ultimately contributing to regional economic prosperity. “KISA will continue our efforts to promote balanced regional development and nurture the blockchain industry ecosystem,” he said.

The United Arab Emirates (UAE) advanced its push to become a leading digital asset hub as crypto exchange Bybit received a full virtual asset platform operator license from the Securities and Commodities Authority (SCA). The permit enables Bybit to provide its entire range of products to UAE residents, the company said in an Oct. 9 press release. The clearance marks the culmination of a process that began when Bybit received preliminary approval from the SCA in February. The exchange says it is the first to complete the full licensing journey and notes that 2025 has been a year of major compliance wins, including new credentials in Europe and a return to the Indian market.Photo by Atikah Akhtar on UnsplashBitGo broadens institutional reach in DubaiInstitutional infrastructure is expanding alongside retail access. Crypto custody firm BitGo secured a broker-dealer license from Dubai’s Virtual Assets Regulatory Authority (VARA). The new authorization allows BitGo MENA to deliver regulated trading and intermediation services across the region through an integrated OTC desk and a digital platform supporting spot crypto trading in both dirhams and U.S. dollars. The UAE’s welcoming attitude toward digital assets is changing how major investors think about wealth. The Bitcoin Historian said on X that The Kanoo Group, which oversees about $20 billion in assets, intends to invest in Bitcoin. Bloomberg has reported that affluent families across the region are gradually diversifying beyond real estate and private enterprises. With around $1 trillion expected to shift to younger generations soon, many heirs are looking to allocate more toward cryptocurrencies, tokenized funds, and tokenized real-world assets (RWAs). New fund marks progress in tokenized financeThat growing appetite for digital exposure is now being met with new products. Last month Qatar National Bank (QNB) Group joined forces with Standard Chartered and DMZ Finance to launch the first regulated tokenized money market fund in the Dubai International Financial Centre. Using blockchain technology, the QCD Money Market Fund brings traditional financial assets on-chain, creating new yield opportunities for investors within the digital economy. The fund is managed by QNB Group, uses infrastructure provided solely by DMZ Finance, and has Standard Chartered serving as custodian of its assets. As the UAE deepens its role in global finance, regulators are also working to align with international standards. By 2027, it expects to adopt the OECD’s Crypto-Asset Reporting Framework (CARF), with cross-border data exchanges to begin in 2028. The Ministry of Finance has already signed the Multilateral Competent Authority Agreement to make this happen. The framework promotes automatic sharing of crypto-related tax information among member countries, underscoring the UAE’s commitment to global transparency as it expands its financial footprint. Recent developments show the jurisdiction striving for growth while strengthening oversight. Exchanges are gaining clarity on what they can offer, institutions are building trading rails, and investors are embracing tokenized products. They signal a market finding its balance between innovation and regulation. The coming years will reveal how well that balance can hold.