TechFlow reports, Hong Kong's Financial Secretary Christopher Hui stated that the JPEX incident highlights the importance of appropriate and robust regulation for healthy market development. Authorities plan to amend legislation governing over-the-counter (OTC) virtual asset exchange operations and establish corresponding regulatory arrangements, with public consultation to follow.
Regarding lawmakers' concerns about advertising of virtual assets and promotions by online influencers, Christopher Hui told the Legislative Council's Panel on Financial Affairs that existing measures are available to regulate celebrities or influencers promoting virtual asset platforms.
Julia Leung, Chief Executive Officer of the Securities and Futures Commission (SFC), said the Anti-Money Laundering Ordinance grants the SFC new powers to enforce regulations on advertising and promotion of virtual assets. Upon identifying fraudulent or misleading content, the SFC can issue cessation letters to involved parties. If violations persist, the SFC may apply to the court for injunctions.
