Hong Kong to tighten cryptocurrency rules

Digital coins to come under SFC oversight

20181212 CRYPTO-CURRENCIES/TRADING

Under Hong Kong's new regulations, companies will be allowed to issue ICO's on tokens that have existed for over 12 months. © Reuters

TAKESHI KIHARA, Nikkei staff writer

HONG KONG -- Hong Kong is set to tighten regulations on cryptocurrencies, with plans to put exchanges, traders and other related companies under the oversight of the Securities and Futures Commission.

With less stringent rules on digital currencies than mainland China, where all crypto-related commercial activities are effectively banned, Hong Kong has become a thriving market for initial coin offerings. But growing concerns over fraud and money laundering have prompted the regulator into action.

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