The update appeared on the SFC’s public register on February 13, confirming the company’s CE Ref: BTF116 status and formally adding it to the list of licensed virtual asset trading platforms. With this approval, Victory Fintech joins a group that now includes at least a dozen operators.
The VDX license took effect the same day, allowing the platform to operate within Hong Kong’s evolving digital-asset regulatory framework. The decision comes amid deeper regulatory refinement and provides the company with a clear legal basis to operate without regulatory uncertainty.
Licensing under the SFO and AMLO
Regulatory approval spans two core tracks. Under the Securities and Futures Ordinance (SFO), Victory Fintech received authorization for Type 1 (dealing in securities) and Type 7 (automated trading services). These categories underpin exchange activity in Hong Kong, enabling platforms to handle client orders and provide system-driven trading.
The second component is issued under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (AMLO) and covers operation of a virtual asset trading platform—an area under heightened regulatory scrutiny. Taken together, these permissions fully activate the VDX license and integrate the firm into the SFC’s supervisory perimeter.
Hong Kong’s licensing regime is not considered lenient: platforms must demonstrate strong cybersecurity controls, effective AML frameworks, operational resilience, and robust corporate governance. The SFC’s public register remains a key reference point for investors, distinguishing licensed operators from firms still under review.
Expansion of the regulated market
In a broader context, Victory Fintech’s addition expands a market already anchored by players such as OSL Digital Securities Limited and Hash Blockchain Limited. More recently, PantherTrade, YAX (Hong Kong) Limited, and Bullish HK Markets Limited have also joined the list, underscoring the city’s push toward a fully supervised crypto infrastructure.
Hong Kong’s model was designed from the outset as a more transparent, better-protected alternative to offshore jurisdictions. Regulators stress that companies on the applicants list have not yet met all requirements. The VDX license places Victory Fintech among operators able to serve both local and institutional clients without legal ambiguity.
Integration within the Victory Group
The license also matters at the group level. An affiliated firm, Victory Securities, part of Victory Financial Group, already holds approvals to provide virtual asset-related services, including discretionary account management.
The new authorization allows Victory Fintech to integrate trading operations into that ecosystem, broadening the group’s regulated toolkit—from execution to wealth management and structured products.
Competitive and regulatory landscape
Hong Kong’s regulatory push is partly driven by competition with other financial hubs. Authorities have eased certain trading rules, including allowing licensed platforms to share order book data with affiliated overseas venues.
These measures aim to support liquidity and attract global order flow. The SFC’s ASPIRe roadmap has also opened pathways for product development and expanded access for professional investors in the digital-asset market.
With Victory Fintech now licensed, Hong Kong’s regulated crypto market increasingly signals a shift from experimentation to a structured model—seeking to balance innovation with stringent compliance requirements.
