Odaily News Hong Kong Securities and Futures Commission (SFC) issued a statement on the end of the non-violation period for virtual asset trading platforms. The SFC reminds the public that the non-violation period applicable to virtual asset trading platforms operating in Hong Kong under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615) (AMLO) will end on June 1, 2024. All virtual asset trading platforms operating in Hong Kong must be licensed by the SFC under the AMLO or be virtual asset trading platform applicants that are "deemed to be licensed". Operating a virtual asset trading platform in Hong Kong in violation of the AMLO is a criminal offence and the SFC will take all appropriate actions against any violations. In the coming months, while virtual asset trading platform applicants deemed to be licensed continue their applications, the SFC will conduct on-site inspections to determine whether they have complied with the SFC's regulatory requirements, with a particular focus on their client asset protection and know-your-customer procedures. The SFC's move is aimed at protecting the interests of investors and the results of the inspections will affect the licensing application process. Similarly, if any violations of key regulatory requirements regarding investor protection are discovered during the inspection, the SFC will promptly reject the relevant license application and take other regulatory actions as appropriate.