The virtual asset trading license continues to spark market reactions, with momentum shifting from Hong Kong stocks to A-shares. Market attention has also transitioned from Hong Kong-listed Guotai Junan International to A-share player Tianfeng Securities. On June 27, Tianfeng Securities surged by 7.89%, briefly hitting the daily limit up.
Recently, Guotai Junan International announced that it received approval from Hong Kong’s Securities and Futures Commission (SFC) to upgrade its existing securities trading license to include virtual asset trading services. This marks the first Hong Kong-based mainland Chinese brokerage to offer comprehensive virtual asset-related trading services.
Industry experts believe this approval could significantly boost international business, helping brokerages secure a strategic advantage while accelerating industry-wide business model transformations.
A Potential New Growth Engine
With this upgraded license, investors can trade cryptocurrencies (e.g., Bitcoin, Ethereum), stablecoins (e.g., Tether), and other virtual assets directly on Guotai Junan International’s platform. The firm now covers:
- Virtual asset trading services
- Advisory services related to virtual asset trading
- Issuance and distribution of virtual asset-linked products, including OTC derivatives
An analyst from East China noted that this move expands traditional securities services into digital asset trading, creating high-value revenue streams such as:
- Cryptocurrency and stablecoin trading commissions
- Cross-border stablecoin settlement fees
- Structured derivative product design and issuance profits
Aggressive Virtual Asset Business Expansion
As of June 27, 2025, Hong Kong’s SFC lists 41 institutions that have upgraded their licenses to include virtual asset trading. These include:
- Guotai Junan International
- Tianfeng International Securities & Futures
- Futu Securities
Futu Securities’ Managing Director, Xie Zhijian, stated that the platform has seen surging investor interest in virtual assets, with active trading and discussions.
Future Prospects for Mainland Brokerages
Experts anticipate further mainland brokerages entering the virtual asset space, leveraging Hong Kong’s role as a financial gateway. Key opportunities include:
- Cross-border digital financial infrastructure development
- Stablecoin-based settlement systems
- Tokenized securities issuance (e.g., bonds, funds)
Top securities analysts suggest that virtual asset trading could redefine non-bank financial ecosystems, driving long-term growth in brokerage sectors.
FAQs
1. What does the virtual asset trading license allow?
It permits brokerages to offer cryptocurrency and stablecoin trading, advisory services, and structured financial products linked to virtual assets.
2. How will this impact brokerage revenues?
New income streams include trading commissions, settlement fees, and derivative product profits, enhancing high-margin business segments.
3. Are other mainland brokerages likely to follow?
Yes—with over 30 mainland-backed Hong Kong subsidiaries, industry-wide adoption is expected.
4. What risks are involved?
Regulatory compliance remains critical. Brokerages must ensure adherence to Hong Kong SFC guidelines to avoid penalties.
5. How does this affect traditional securities trading?
Virtual asset services complement existing offerings, attracting tech-savvy investors and diversifying revenue sources.
👉 Discover how brokerages are leveraging virtual assets
👉 Explore crypto trading opportunities
By integrating virtual asset services, brokerages position themselves at the forefront of digital finance, unlocking new growth potential amid evolving market demands.