Exploring Cryptocurrency Trading: Updates in Hong Kong, the US, and Security Considerations
Cryptocurrency trading has become increasingly popular in recent years, with exchanges offering a wide range of assets for investors to choose from. Recently, Interactive Brokers launched cryptocurrency trading in Hong Kong in collaboration with OSL Digital Securities, the world’s first Type 1 and 7 Securities and Futures Commission (SFC)-licensed digital asset brokerage and trading platform for professional investors.
Clients living in Hong Kong who are eligible, such as individuals with more than HKD 8 million of investable assets or institutions with assets exceeding HKD 40 million, can now trade cryptocurrency alongside other asset classes available on the Interactive Brokers platform, creating a unified experience.[0] Interactive Brokers Hong Kong offers cryptocurrency trading powered by OSL Digital Securities. Commissions start at 0.20% – 0.30% of trade value, with a minimum of USD 2.25 per order. There are no added spreads or markups.
The Pennsylvania Department of Banking and Securities recently joined 53 other jurisdictions and the United States Securities and Exchange Commission (SEC) in a $45 million settlement with Nexo Capital Inc. (Nexo) for violating securities registration provisions.[1] Nexo is requiring that all of its U.S.-based investors take the necessary steps to have their virtual assets removed from Nexo’s platform by April 1, 2023.[1] Nexo will pay a total of $45 million–$22.5 million to settle SEC charges and $22.5 million in fines to resolve charges by state regulatory authorities.[1]
In addition, Ishan Wahi, a former product manager at Coinbase Global, Inc., pled guilty to two counts of conspiracy to commit wire fraud.[2] Wahi was involved in the highly confidential process of listing crypto assets on Coinbase’s exchanges and had detailed and advanced knowledge of which crypto assets Coinbase was planning to list and the timing of public announcements about those crypto asset listings. On multiple occasions, Wahi provided confidential business information that he learned in connection with his employment at Coinbase to Nikhil Wahi and Sameer Ramani so that they could secretly engage in profitable trades around public announcements by Coinbase that it would be listing certain crypto assets on Coinbase’s exchanges.
Security is a significant concern for cryptocurrency traders, and exchanges must have strong security measures in place, including two-factor authentication, encrypted data storage, and secure SSL connections.[3]
0. “Interactive Brokers Launches Cryptocurrency Trading in Hong Kong …” www.marketscreener.com, 17 Feb. 2023, https://www.marketscreener.com/quote/stock/INTERACTIVE-BROKERS-GROUP-50014/news/Interactive-Brokers-Launches-Cryptocurrency-Trading-in-Hong-Kong-42977330/
1. “Pennsylvania to Receive Money in Multi-State Cryptocurrency …” pennwatch.org, 17 Feb. 2023, https://pennwatch.org/pennsylvania-to-receive-money-in-multi-state-cryptocurrency-settlement/
2. “Ishan Wahi pleads guilty in first-ever cryptocurrency insider-trading …” www.newsindiatimes.com, 17 Feb. 2023, https://www.newsindiatimes.com/ishan-wahi-pleads-guilty-in-first-ever-cryptocurrency-insider-trading-case/
3. “Cryptomus : The All-In-One Solution for Accepting Cryptocurrency …” www.morningstar.com, 17 Feb. 2023, https://www.morningstar.com/news/globe-newswire/8750246/cryptomus-the-all-in-one-solution-for-accepting-cryptocurrency-payments
