OKX onboards 10K users within one month of launch in Hong Kong

This remarkable influx is particularly noteworthy as OKX becomes the first exchange in Hong Kong to reach this milestone following the implementation of the city’s new virtual asset service providers (VASPs) regime on June 1, 2023.

OKX, which claims to be the world’s second-largest crypto exchange by trading volume, said in a statement that it has made investments in various areas such as talent acquisition, technology, compliance, and system security over the past 18 months.

These efforts were undertaken to expand its operations to Hong Kong, providing users with access to P2P transactions, as well as the ability to use ApplePay, Visa, and Mastercard to purchase cryptocurrencies using HKD.

OKX Hong Kong’s users are able to purchase, trade, and convert a diverse range of tokens, including Bitcoin, Ethereum, Cardano, Polygon, Solana, Polkadot, Uniswap, Chainlink, The Sandbox, Litecoin, Avalanche, Axie Infinity, Cosmos, Stellar Lumens, Tether and USD Coin.

OKX Global Chief Commercial Officer Lennix Lai said: “We’re very encouraged to see such a positive response to OKX Hong Kong. Our sign-up metrics demonstrate strong local interest and immense market potential in a regulated environment. The Hong Kong market is very sophisticated and discerning when it comes to choosing digital asset platforms, and adherence to regulatory requirements plays a crucial role in winning trust from our users and driving future growth of the crypto market. Going forward, we hope to launch more exciting products and experiences for Hong Kong users in accordance with regulatory requirements.”

The move also comes a few weeks after Hong Kong’s regulator revealed plans to permit licensed cryptocurrency platforms to cater to retail investors under its new regulatory framework for the sector.

The proposed guidelines encompass various aspects such as asset custody safety requirements, cybersecurity standards, and the segregation of client assets, among others. This was implemented from June 1, coinciding with the launch of a new licensing regime for virtual asset platforms.

OKX was among the first tranche of crypto exchange that provided their customers and other stakeholders with a snapshot of its reserve holdings. This came at a time when major crypto plyers come under greater scrutiny after the stunning implosion of the erstwhile second-largest global crypto exchange FTX.

The exchange also upgraded the transparency of its system by making full liabilities, or total balance of user deposits, visible to the public. This allows anyone to download the full liability Merkle tree as opposed to the previous system, which showed a user’s own liabilities but obscured data from other users. To safeguard user privacy, OKX splits and shuffles account liabilities in the tree using a technical solution called ‘splitting leaf nodes.’