- Guotai Junan clients can now trade crypto tokens directly via an SFC-licensed platform under new robust regulatory framework.
- Several Chinese brokerages file applications for similar license upgrades to offer crypto trading, intensifying market competition in HK.
Shares of Guotai Junan International jumped nearly 200% over two trading days after the firm received approval to offer crypto trading in Hong Kong. The Securities and Futures Commission upgraded the company’s Type 1 license on Wednesday.
The change allows clients to trade digital tokens via an SFC-licensed crypto platform. On Wednesday, the stock closed at HK $3.70, up 198% from Tuesday’s HK $1.24. The share price reached HK $7.02 intraday on Thursday before closing at HK $3.54.
That two-day move represents a 185% gain from the pre-upgrade level. Guotai Junan first listed in Hong Kong in 2010 under an initial public offering. Its parent company, Guotai Haitong Group, counts a Shanghai state-owned enterprise as its controlling shareholder.
Meanwhile, other Chinese brokerages, including China Merchants Securities and Huatai International, are seeking similar license upgrades. Hong Kong maintains a licensing regime for crypto exchanges, while mainland China bans all crypto trading and mining. The Hong Kong government released a policy statement on Thursday to support the tokenization of real assets and expand its crypto licensing framework.
