Guotai Junan International Obtains Virtual Asset Trading License from Hong Kong Securities and Futures Commission

On June 25, 2025, Guotai Junan International Holdings Limited announced that its wholly-owned subsidiary Guotai Junan Securities (Hong Kong) Limited successfully upgraded its Type 1 (Securities Trading) regulated activity license, being authorized to provide virtual asset trading services. This breakthrough makes Guotai Junan International the first Chinese broker in Hong Kong authorized to offer a full range of virtual asset trading services, opening channels for clients to directly trade mainstream cryptocurrencies such as Bitcoin, Ethereum, and Tether.

After the announcement, the market reacted positively. The stock price of Guotai Junan International surged at the opening, with a maximum increase of over 100%, reflecting investors' high recognition of this strategic breakthrough. At the same time, the stock price of Huashan Co., Ltd., which holds a large number of circulating shares of Guotai Junan International, also rose, with an intraday increase of more than 8%, indicating the general optimism of the market towards the virtual asset trading sector.

The recent license upgrade is an important part of Hong Kong's strategy to build a global core hub for virtual assets. In recent years, Hong Kong has established a regulatory framework for digital assets that emphasizes both innovation and risk prevention through a series of policy measures, such as the release of the "Hong Kong Virtual Assets Development Policy Declaration," the implementation of a dual licensing mechanism, and the issuance of the world's first government-supported tokenized green bond. In early 2025, the regulatory roadmap published by the Hong Kong Securities and Futures Commission and the passing of the "Stablecoin Regulation Bill" further clarified the policy direction supporting the development of the virtual asset market.

Guotai Junan International has been approved for a wide range of licenses, including the provision of virtual asset trading services, trading-related professional advice, as well as the issuance and distribution of products related to virtual assets. This makes it the first Hong Kong-based Chinese brokerage able to provide comprehensive virtual asset trading services, with offerings covering multiple areas such as brokerage business, consulting services, and product issuance.

In fact, Guotai Junan International has had a longstanding presence in the virtual asset field. In 2024, the company launched structured products based on virtual asset spot ETFs and was approved to conduct virtual asset trading platform introduction agent business. In the first half of 2025, the company further obtained permission to distribute tokenized securities to clients and provide related professional advice, while also initiating digital bond issuance business. This license upgrade has improved the company's virtual asset business ecosystem, achieving a comprehensive layout from product design, trading services to consulting support.

Industry analysts believe that more brokerage firms with subsidiaries engaged in international business may complete the upgrade to Class 1 licenses in the future, entering the virtual asset trading service sector and further improving the ecosystem of the Hong Kong market. The participation of leading brokerage firms will drive the continuous development of the cryptocurrency and virtual asset trading ecosystem in Hong Kong.

Globally, traditional financial institutions are deeply engaged in the virtual asset industry. In the brokerage business sector, several securities firms have opened cryptocurrency trading functionalities. In asset management, innovative products such as Bitcoin spot ETFs and tokenized currency funds have emerged. In the investment banking sector, the listing of virtual asset companies and industry mergers and acquisitions have brought new opportunities for brokerage firms.

Despite the broad prospects of the virtual asset market, its high volatility also poses higher demands on investors. The professional consulting services provided by Guotai Junan International will help clients better understand market dynamics and make rational investment decisions.