2026-01-23
Step 1: Understand the Regulatory Framework and Core Value of Hong Kong-Licensed XAUt OTC Trading
As we enter the 2026 financial landscape, we are witnessing not just technological iteration, but a profound transformation in values and trust structures. Virtual assets—once regarded as marginal and rebellious—are now being carefully integrated into a rigorous and forward-looking regulatory system in Hong Kong, a global financial hub. When we discuss "Hong Kong-licensed XAUt OTC trading," we are not merely referring to a simple buying and selling activity, but a complex ecosystem that combines ancient value (gold), cutting-edge technology (blockchain), and modern rule of law (SFC regulation). To truly navigate this field, the first task is to establish a solid cognitive framework and understand the "why" and "how" behind it. This step is analogous to a philosopher defining core concepts and examining the foundation of their existence before constructing a system of thought.
What is XAUt? The Philosophical Implications of Gold Tokenization
Let’s start with the most fundamental question: What exactly is XAUt? Technically, XAUt is a token issued on the Ethereum blockchain (typically adhering to the ERC-20 standard). Its uniqueness lies in the fact that each XAUt token directly corresponds to ownership of one troy ounce of physical gold. This physical gold is securely stored in professional vaults and subject to regular third-party audits to verify its existence and accurate quantity. This means that XAUt holders legally own the corresponding amount of gold and can redeem the tokens for physical gold under specific conditions in accordance with the issuer’s terms.
However, reducing XAUt to a digital certificate for gold would overlook its deeper philosophical and economic implications. It represents a "translation of value"—one that challenges our traditional notions of "ownership," "liquidity," and "trust."
First, reflect on the essence of "ownership"
Traditionally, owning physical gold meant physical possession or proof through complex paper certificates. This form of ownership is cumbersome and tangible, with transfer processes fraught with friction—transportation costs, insurance fees, security risks, and lengthy verification times. Gold tokenization transforms this cumbersome ownership into a lightweight, programmable digital right. You no longer need a vault to store your gold; your ownership record is inscribed on a decentralized, immutable public ledger. This is a democratization and optimization of ownership. It converts gold from a static, passive store of value into a dynamic financial asset that can be transferred almost instantly on a global scale. This transformation compels us to rethink what true "possession" means in the digital age.
Second, examine the liberation of "liquidity"
The liquidity of physical gold is constrained by its physical properties. You cannot easily split a gold bar into tiny fractions for payment or trading. XAUt completely breaks this limitation. Thanks to its digital nature, XAUt can be infinitely divided. You can trade 0.001 XAUt—something unimaginable in the physical world. This high degree of fractionalization, combined with the 24/7 global trading capability enabled by blockchain technology, greatly unleashes gold’s potential as a liquid asset. It allows gold to transcend its role as a safe haven exclusively for central banks and the wealthy, becoming a flexible component in the asset allocation of ordinary individuals. The liberation of liquidity is no less significant than the invention of paper currency; it represents a qualitative leap in the efficiency of value exchange.
Finally, and most profoundly, the reconstruction of the "trust" mechanism
Trust in traditional gold trading is built on reliance on counterparties, custodians, and government regulations—a trust model based on "people" or "institutions." The emergence of XAUt introduces a new dimension of trust: trust based on "mathematics" and "code." Blockchain consensus mechanisms ensure the immutability of transaction records, while the automatic execution of smart contracts reduces the potential for human intervention. Of course, this does not mean abandoning trust in institutions entirely. The foundational value of XAUt—the authenticity and security of the underlying physical gold—still depends on credible issuers, custodians, and auditors. This gives rise to a more complex hybrid trust model: we trust the impartiality of code while also requiring the integrity of regulated, compliant institutions. This is precisely why the term "licensed" has become so crucial in Hong Kong. It signifies that the SFC, as the regulatory authority, provides solid legal endorsement for this hybrid trust model.
In summary, XAUt is more than just "digital gold." It is a philosophical practice exploring how to preserve and circulate ancient values in the digital world. It forces us to reflect on how the connotation of an asset changes when it can exist independently of its physical form. Only by understanding this deeper meaning of XAUt can we truly grasp the historical value of engaging in licensed XAUt OTC trading in Hong Kong.
Why Choose Over-the-Counter (OTC) Trading? Privacy and Efficiency for Large-Scale Transactions
When deciding to allocate assets like XAUt—especially involving large amounts—the next critical choice is: through which channel should the transaction be conducted? There are two primary options in the market: on-exchange trading and over-the-counter (OTC) trading. For many new investors, on-exchange trading may seem more intuitive—it functions like a public marketplace where buy and sell orders are aggregated in an order book, prices are dynamically determined by market supply and demand, and everything is transparent. However, for high-net-worth individuals (HNWIs), family offices, or institutional investors, OTC trading is often the wiser and more prudent choice. Understanding the inherent logic of OTC trading is key to grasping the practical wisdom of "Hong Kong-licensed XAUt OTC trading."
Let’s use an analogy to illustrate. On-exchange trading is like bidding for a work of art at a busy public auction. Every bid you make is visible to everyone, and your identity and intentions are partially disclosed. Your actions can directly impact market prices; if your purchase volume is large enough, it may trigger significant price fluctuations—a phenomenon known as "market impact." When you attempt to buy in bulk, prices are driven up; when you try to sell in large quantities, prices are pushed down. Ultimately, the average price you execute at may be far worse than the initial market quote you saw. This is what is referred to as "slippage." For transactions involving millions or even tens of millions of US dollars, even a 1% slippage can result in substantial potential losses.
In contrast, OTC trading is more like negotiating a transaction directly with a gallery owner in a private VIP room. The entire process is one-on-one and confidential. You can negotiate a single, fixed price for a large trading volume. Once this price is locked in, it will not fluctuate due to your transaction itself. These are the two core advantages of OTC trading: privacy and price stability.
The value of privacy
In the financial world, information is power. If a large investor’s trading intentions are detected by the market in advance, it may trigger "front-running" by other speculators. They will buy ahead of your large order to drive up prices, then sell to you for a profit. OTC trading, through its peer-to-peer nature, perfectly avoids this problem. Your trading intentions are only known to you and the OTC desk, never disclosed to the public market—thus protecting your trading strategy and potential profits. This privacy is indispensable for institutional investors who need to carefully manage their market footprint.
The guarantee of price stability
As mentioned earlier, executing large orders on public markets can cause price impact. OTC desks—such as the dedicated OTC services offered by licensed institutions like HashKey Exchange—act as large buffers. They leverage their deep liquidity pools and extensive counterparty networks to absorb your large order. They will provide you with a single, all-in price. You only need to decide whether to accept it. Once accepted, the OTC desk assumes all execution risks to complete the transaction in the market, ensuring the price you get is exactly the one you saw. This eliminates the uncertainty of slippage and provides precise cost control for large-scale asset allocation.
The table below clearly illustrates the fundamental differences between on-exchange and OTC trading when handling large XAUt transactions:
| Features | On-Exchange Trading | Hong Kong-Licensed XAUt OTC Trading |
| Trading Model | Public order book with multi-party matching | Private negotiation, peer-to-peer (P2P) trading |
| Price Discovery | Determined by dynamic market supply and demand; prices fluctuate continuously | Negotiated and locked single price |
| Trading Transparency | High (all orders and executions are visible) | Low (transaction details not disclosed) |
| Market Impact | Large orders significantly affect market prices | Minimal or none, absorbed internally by the OTC desk |
| Slippage Risk | High, especially in volatile or low-liquidity markets | Low or none, price locked before transaction |
| Trading Scale | Suitable for small-scale, high-frequency trading | Designed for large-scale, low-frequency block trades |
| Privacy | Low; trading activities easily tracked and analyzed | High; protects traders’ intentions and strategies |
| Settlement Method | Usually standardized on-chain automatic settlement | Customizable with more flexible settlement options |
Therefore, choosing OTC trading is not about evading transparency, but about pursuing a higher level of efficiency and certainty. It is a form of professional trading acumen that acknowledges the uniqueness of large-scale transactions and provides a tailored solution for them. For any individual or institution seeking to conduct serious, large-scale value storage or transfer in the digital asset space, understanding and leveraging OTC channels is a hallmark of mature asset management capabilities. When this professional trading model is combined with Hong Kong’s rigorous regulatory framework, Hong Kong-Licensed XAUt OTC Trading emerges as a top-tier asset allocation option that is both highly efficient and extremely secure.
In the world of virtual assets, "trust" is an eternal yet paradoxical topic. One of the original intentions of blockchain technology was to create a "trustless" system through decentralized consensus mechanisms. However, as virtual assets transition from pure technical experiments to mainstream finance, intersecting with fiat currencies, real-world assets (such as gold), and a broad base of investors, we have come to realize that trust based solely on code is far from sufficient. Fraud, theft, market manipulation, money laundering—the specters that have long existed in traditional finance—ran rampant in the early unregulated virtual asset markets, eroding investor confidence time and again.Against this backdrop, the Virtual Asset Service Provider (VASP) licensing regime implemented by the Securities and Futures Commission (SFC) of Hong Kong takes on extraordinary significance. When we prefix "XAUt OTC Trading" with "Hong Kong-Licensed," we are not merely adding a legal qualifier—we are infusing the entire transaction with a solid foundation of "trust." SFC regulation acts like a lighthouse, guiding investors navigating the turbulent digital ocean toward safe harbor (SFC, 2023).So, on what levels does SFC regulation reshape trust?
An SFC license is not easily obtained. Applicant institutions must undergo an extremely stringent and comprehensive review process. This involves far more than just submitting documents. The SFC conducts in-depth due diligence on the platform’s financial health, capital strength, shareholder background, and the qualifications and experience of its management team. It mandates that platforms establish robust internal controls and governance frameworks to ensure their long-term operational stability. For example, as one of Hong Kong’s first licensed virtual asset exchanges, HashKey Exchange’s acquisition of its license is in itself a strong endorsement of its corporate governance, financial soundness, and professional capabilities (Thomson Reuters, 2025). This means that when you choose to trade on a licensed platform, you are not dealing with an anonymous overseas entity with ambiguous registration details—you are engaging with a locally incorporated, legally compliant financial institution that has passed the stringent screening of Hong Kong’s top financial regulator and is subject to its ongoing supervision. This fundamentally eliminates a vast array of potential fraudulent platforms and poorly managed high-risk enterprises at the source.
Investors’ primary concern is undoubtedly the security of their assets. The SFC imposes extremely strict requirements in this regard. First, licensed platforms must strictly segregate their proprietary assets from customer assets. This means the platform’s operational funds cannot be commingled with users’ fiat currencies or virtual assets, thus eliminating the possibility of platform misappropriation of customer funds. Second, the SFC requires platforms to store the vast majority (typically 98%) of customer virtual assets in offline cold wallets. Cold wallets are physically isolated from the internet, providing maximum protection against hacking attacks. The remaining small portion (typically 2%) is held in hot wallets to meet daily withdrawal liquidity needs. Furthermore, licensed platforms must purchase adequate insurance coverage for the assets under their custody to address potential losses arising from extreme events such as hacking or theft. This combination of safeguards—asset segregation, cold wallet storage, and commercial insurance—together constructs a multi-layered asset security net, providing institutional protection for investors’ hard-earned capital.
A healthy market must be fair and transparent. SFC regulation aims to eliminate illegal practices such as market manipulation and insider trading. Licensed platforms are required to establish and implement effective market surveillance systems to monitor abnormal trading activities. While OTC trading is inherently private negotiation, licensed OTC desks are equally subject to SFC supervision. They must ensure the fairness of their pricing mechanisms and refrain from exploiting information asymmetry to disadvantage clients. Meanwhile, all transactions must be fully documented for the SFC’s random inspection. More importantly, the SFC sets extremely high standards for Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) compliance. Platforms must implement strict Know Your Customer (KYC) procedures to verify the source and destination of funds. This is not only a legal obligation but also a means of protecting the entire platform ecosystem from contamination by illicit funds, thereby safeguarding the interests of all honest participants.
SFC regulation is not a one-time license issuance—it is a continuous, dynamic supervisory process. Licensed platforms are required to submit audited financial reports, operational reports, and compliance reports to the SFC on a regular basis. The SFC has the authority to conduct on-site inspections at any time and continuously updates its regulatory guidelines in response to market developments and emerging risks. This ongoing regulatory pressure compels platforms to remain vigilant at all times, with no room for complacency. It ensures that investor protection is not a static promise, but an evolving, forward-looking process. For instance, with the emergence of new products such as tokenized assets, the SFC has issued dedicated guidelines to ensure these innovations also develop along a safe and compliant trajectory (Withers, 2022).In summary, the term "licensed" embodies a comprehensive, systematic trust mechanism spanning institutional access, asset security, transaction fairness, and ongoing supervision. It transforms virtual asset trading from a lawless "wild west" of uncertainty into a regulated "civilized marketplace" with clear rules and legal recourse. For investors seeking long-term, stable, and secure allocation of digital assets such as XAUt, choosing to trade on a Hong Kong-licensed platform is akin to anchoring their wealth in a solid harbor forged by the rule of law, professionalism, and robust regulation.
When we shift our focus from the micro-details of trading to the broader global landscape, a thought-provoking question emerges: among the numerous cities claiming to be "virtual asset hubs," what truly sets Hong Kong apart? Why does the "Hong Kong-Licensed" label hold such special appeal for global high-net-worth investors in 2026? The answer is multifaceted, rooted in Hong Kong’s unique history, geopolitical status, and thoughtful regulatory philosophy.Hong Kong’s positioning can be understood as a masterful "balance point." It embraces the innovation, openness, and global spirit represented by virtual assets while upholding the stability, compliance, and investor protection cherished by the traditional financial world. This dual-track strategy of "regulating while embracing, innovating while regulating" has secured it an irreplaceable niche in the global landscape.
This connectivity operates in two directions. On one hand, as an international financial center, Hong Kong is the traditional gateway for global capital entering and exiting Asia. It is home to the world’s leading banks, law firms, accounting firms, and asset management companies, boasting mature financial infrastructure and a deep pool of professional talent. When virtual assets need to interface with the traditional financial system—for example, purchasing XAUt with fiat currency or converting digital asset gains into traditional assets—Hong Kong provides the most seamless and efficient channels. Licensed platforms like HashKey Exchange, which offer both HKD and USD fiat on-ramp and off-ramp services, are themselves a microcosm of Hong Kong’s robust financial infrastructure. On the other hand, Hong Kong’s proximity to mainland China, under the framework of One Country, Two Systems, positions it as a "super-connector" linking China with the rest of the world. While mainland China currently adopts a cautious stance toward virtual asset trading, Hong Kong’s explorations are undoubtedly accumulating valuable experience and institutional templates for broader integration in the future. For global investors with long-term strategic layouts in the Greater China region, Hong Kong is an indispensable strategic pivot.
Unlike certain jurisdictions that adopt a "one-size-fits-all" ban or a laissez-faire approach, Hong Kong’s regulators, particularly the SFC, have adopted a cautious yet pragmatic stance. They have not been dazzled by the technological allure of virtual assets, nor have they rejected them outright due to potential risks. The SFC’s strategy can be summarized as "same business, same risks, same rules". It treats virtual asset trading platforms as a new type of financial intermediary, integrating them into a regulatory framework similar to that applied to traditional securities brokers and exchanges, while also formulating dedicated rules to address the unique risks of virtual assets (such as wallet security and blockchain fork management) (SFC, 2024). The advantage of this approach is that it does not reinvent an entirely alien regulatory language; instead, it integrates new assets into an existing, market-proven legal system. This significantly reduces compliance costs and knowledge barriers for traditional financial institutions entering the space, facilitating the integration of old and new finance. From issuing exploratory sandbox guidelines in 2018, to formally implementing the VASP licensing regime in 2023, to the orderly market operation we see today in 2026, Hong Kong has taken steady, clear steps forward at every stage.
The goal of the Hong Kong government and regulators is not merely to establish a few compliant exchanges, but to nurture a complete, sustainable Web3 ecosystem. This includes supporting tokenization technologies (such as XAUt issuance), exploring the application of the digital Hong Kong dollar (e-HKD), encouraging the development of virtual asset funds and asset management businesses, and attracting global blockchain technology talent. The Policy Statement on the Development of Virtual Assets in Hong Kong, published by the Hong Kong government in 2022, clearly articulated its commitment to embracing innovation. This top-down policy support provides valuable certainty for market participants. It signals to the world that Hong Kong’s commitment to virtual asset development is long-term and strategic, not a short-term speculative endeavor. For institutional investors requiring long-term capital allocation, this is an extremely important signal. When they choose to engage in Hong Kong-Licensed XAUt OTC Trading, they are not only investing in an asset—they are investing in long-term confidence in Hong Kong’s responsible innovation ecosystem.In summary, by 2026, Hong Kong has successfully established itself as a "quality benchmark" in the global virtual asset space. It is not chasing the largest trading volume, nor is it the most loosely regulated jurisdiction; instead, it strives to be the safest, most compliant, and most closely integrated with traditional finance. It offers a unique value proposition to global capital: here, you can enjoy the efficiency and innovation brought by blockchain technology while gaining legal protection and institutional certainty comparable to top-tier traditional financial markets. For discerning capital that prioritizes risk control and long-term value over mere high returns, Hong Kong is undoubtedly an indispensable jewel in their global digital asset allocation portfolio.
Having established a macro understanding of Hong Kong-licensed XAUt OTC trading, the path to practice leads us to a more concrete and critical decision point: how to choose a trustworthy trading partner. Under the SFC’s rigorous regulatory framework, while all licensed platforms must meet basic compliance requirements, significant differences remain in terms of service depth, technical capabilities, risk management proficiency, and ecosystem completeness. This step is analogous to selecting the most skilled master craftsman from a guild of top artisans to create a custom heirloom. In this process, conducting an in-depth analysis of potential partners is an indispensable exercise. As a pioneer and leader in Hong Kong’s virtual asset trading sector, HashKey Exchange is undoubtedly the ideal subject for our case analysis.
When discussing HashKey Exchange’s core competitiveness, we must first understand the true significance of its SFC licenses. HashKey Exchange holds not just a VASP license, but also SFC-authorized licenses for Type 1 (Securities Trading) and Type 7 (Automated Trading Services) regulated activities. This "dual-license" structure is not the simple stacking of licenses—it generates profound synergistic effects that enable it to far surpass pure crypto-to-crypto trading platforms in both service breadth and depth. Let us deconstruct the implications of these two licenses and the unique value created by their combination.
The Type 7 license, or "Automated Trading Services," serves as the legal foundation for operating an electronic trading platform similar to a traditional stock exchange. Holding this license means that HashKey Exchange’s entire trading system—from order book and matching engine to clearing and settlement system—must meet the SFC’s strict standards for stability, security, fairness, and efficiency. This is akin to setting construction codes, fire safety standards, and management rules for a public marketplace, ensuring all participants can trade in a safe and orderly environment. For XAUt on-exchange trading, the Type 7 license is the fundamental guarantee of its compliant operation. It ensures that market price formation mechanisms are transparent and transaction execution is reliable.
The Type 1 license, or "Securities Trading," endows HashKey Exchange with the identity of an intermediary (Broker-Dealer). This means it is not merely a passive trading venue, but can proactively provide transaction-related services to clients. This is particularly evident in over-the-counter (OTC) trading. When you submit a large XAUt buy or sell request to HashKey Exchange’s OTC desk, it acts in its capacity as a Type 1 license holder to provide pricing, execute the transaction, and arrange settlement. This identity enables it to legally handle virtual assets with "securities" attributes (Security Tokens), and also equips it with a more mature compliance framework and operational processes when providing brokerage services for non-securities virtual assets (such as XAUt). This is analogous to entering a well-managed marketplace while also having a professional, licensed procurement consultant to help you source goods, negotiate prices, and handle all cumbersome delivery formalities.
When these two licenses are combined, their value grows exponentially.
The table below helps us more clearly understand the comprehensive advantages brought by the dual licenses:
| License Type | Core Functions | Application in XAUt Trading | Synergistic Value |
| Type 7 License | Operate automated trading platforms (exchanges) | Offer listed trading for pairs like XAUt/HKD and XAUt/USD on the public market | Provide basic liquidity and transparent price benchmarks for the platform |
| Type 1 License | Act as a securities broker to provide trading services | Offer private OTC pricing, execution, and settlement services for large-scale XAUt trades | Legally handle potential security-type tokenized assets that may emerge in the future |
| Dual-License Combination | Integrated virtual asset exchange and broker-dealer | Enable clients to seamlessly switch between on-exchange and OTC trading modes within a single account | Deliver one-stop, comprehensive asset allocation solutions; adapt to regulatory changes with ease; integrate diversified liquidity sources; achieve optimal trade execution for clients |
In Summary: HashKey Exchange’s Dual-License Structure – The Key to Standing Out in Hong Kong’s Compliant Market
HashKey Exchange’s dual-license structure is the cornerstone of its competitive edge in Hong Kong’s regulated virtual asset market. It is not merely a simple combination of two legal permits, but a deliberate strategic layout. This structure builds a comprehensive and in-depth service matrix, enabling the platform to meet the diverse needs of investors ranging from retail users to large institutions, while adapting seamlessly to potential evolutions in the global virtual asset market. For investors seeking to execute serious, large-scale XAUt asset allocation in Hong Kong, partnering with an institution equipped with robust infrastructure and clear legal standing is undoubtedly the most critical component of their risk management strategy.
AML/KYT-Enabled Risk Control System Tailored for XAUt OTC Trading
If an SFC license is the ticket to entering the compliant market, a robust and sophisticated internal risk control system is the safety mechanism that ensures the "train" runs smoothly without derailment. For OTC transactions involving large capital flows, the importance of risk control cannot be overstated. This is not only about meeting regulatory requirements, but also about protecting the platform itself, safeguarding clients, and maintaining the integrity of the entire financial system. HashKey Exchange fully understands this principle, and its risk control framework—particularly in Anti-Money Laundering (AML) and Know Your Transaction (KYT)—has set an industry benchmark for Hong Kong-licensed XAUt OTC trading.
Let us dissect the operational logic of this risk control system, which functions like a sophisticated water purification system equipped with multi-layer filters and smart sensors, ensuring every dollar flowing through the platform is clean and legitimate.
First Line of Defense: Rigorous Know Your Customer (KYC) Due Diligence
All risk control begins at the source. Before any client can conduct transactions, they must complete HashKey Exchange’s stringent KYC process—a procedure far more thorough than simply uploading an ID card.
- Identity Verification: The platform employs multiple technical methods (e.g., facial recognition, liveness detection) to verify individual clients’ identities, requiring submission of proof of address and other supporting documents. For institutional clients, due diligence is even more comprehensive, covering company registration documents, shareholding structures, and Ultimate Beneficial Owner (UBO) information.
- Risk Assessment: The platform assigns an internal risk rating to each client based on their background, source of funds, and expected trading patterns. Clients from high-risk jurisdictions or engaged in sensitive industries are subject to enhanced scrutiny and ongoing monitoring.
- Blacklist Screening: All client information is cross-checked against global sanctions lists, Politically Exposed Person (PEP) databases, and law enforcement watchlists to ensure no business is conducted with sanctioned individuals or entities.
While this process may seem cumbersome, its essence is to build a community of trusted participants. It ensures that your OTC counterparty (i.e., HashKey Exchange) and all other participants in the platform ecosystem have undergone equally rigorous identity verification, fundamentally mitigating counterparty risk.
Second Line of Defense: Dynamic Transaction Monitoring (KYT)
If KYC is a static admission review, then KYT (Know Your Transaction) is a dynamic behavioral monitoring system—the most technologically advanced component of HashKey Exchange’s risk control framework. The platform leverages cutting-edge blockchain analytics tools and artificial intelligence algorithms to monitor every virtual asset transaction entering or exiting the platform in real time.
- Fund Source Tracing: When XAUt or other virtual assets are deposited into the platform, the KYT system automatically traces their historical on-chain paths. It analyzes whether these funds have been associated with addresses linked to known illegal activities (e.g., darknet markets, hacking theft, fraudulent projects). If funds are found to originate from high-risk addresses, the system immediately triggers an alert, suspends the transaction, and escalates the case to the compliance team for manual review.
- Trading Pattern Analysis: The system establishes a baseline of normal trading behavior for each client. Any significant deviation from this baseline—such as sudden transactions far exceeding usual volumes or frequent small-value fragmented transfers (a potential money laundering "structuring" tactic)—will also trigger an alert.
- Counterparty Address Screening: When a client attempts to withdraw XAUt to an external wallet address, the KYT system conducts a risk assessment of the target address. If the address is flagged as high-risk, the withdrawal request may be rejected to prevent the platform from becoming a transit point for illicit funds.
This blockchain-based KYT capability represents a significant upgrade over traditional financial risk control. It renders fund flow paths unprecedentedly transparent, leaving no room for illicit capital to hide. For legitimate investors conducting large-scale XAUt OTC transactions, this means the assets they receive are "clean"—free from the risk of future freezing or seizure due to association with illegal activities.
Third Line of Defense: Professional Compliance Team and Continuous Optimization
While technical tools are powerful, final decision-making and judgment ultimately rely on professional expertise. HashKey Exchange boasts a dedicated compliance team composed of professionals with backgrounds in law, finance, and blockchain technology. This team is responsible for investigating system-generated alerts and maintaining communication with regulatory authorities and law enforcement agencies. Furthermore, the risk control system is not static. As money laundering tactics evolve and new risks emerge, the compliance team collaborates closely with the technology team to continuously update and refine risk control rules and algorithms, ensuring they remain effective against the latest threats.
In summary, HashKey Exchange’s risk control system for XAUt OTC trading is a multi-layered defense mechanism integrating strict admission screening, dynamic transaction monitoring, and professional judgment. It is designed not merely to satisfy SFC regulatory requirements, but to uphold a deep commitment to financial security and market integrity. It sends a clear signal to all participants: here, security and compliance are non-negotiable bottom lines. For high-net-worth investors seeking long-term, prudent positioning in the virtual asset space, the peace of mind afforded by such a robust risk control system is invaluable. It allows investors to focus on their core investment strategies, entrusting the complex and tedious work of security assurance to a professional platform.
Seamless Fiat Currency Channels: Uninterrupted HKD and USD Integration
In the grand narrative of virtual assets, we often focus on token innovation and blockchain efficiency, yet one unsung but critical component determines the practicality of the entire system: fiat on-ramp and off-ramp channels. These channels facilitate the conversion of traditional fiat currencies (e.g., HKD, USD) into virtual assets and vice versa. A smooth, reliable, and compliant fiat channel acts as a bridge connecting the digital and physical worlds. Without this bridge, digital assets are confined to closed-loop circulation, severely limiting their potential as stores of value and mediums of exchange.
As a Hong Kong-licensed trading platform, HashKey Exchange’s efforts and achievements in building fiat channels are another testament to its core competitiveness. It recognizes that for users engaging in Hong Kong-licensed XAUt OTC trading, the ability to seamlessly deposit and withdraw large sums in HKD and USD is a foundational requirement for achieving their investment objectives.
Compliant Banking Partnerships: The Cornerstone of Trust
In the early days of the virtual asset industry, many trading platforms faced difficulties establishing relationships with traditional banks. Concerned about money laundering risks and regulatory uncertainty, banks were often reluctant to provide corporate account services to virtual asset platforms, forcing these platforms to rely on roundabout or even gray-market channels for fiat processing. This approach was not only inefficient but also fraught with significant financial security risks.
HashKey Exchange’s licensed status fundamentally transforms this dynamic. An SFC license serves as a credit endorsement from Hong Kong’s top financial regulator, enabling HashKey Exchange to establish formal, compliant partnerships with reputable local and international banks. These banks are willing to open and maintain dedicated trust accounts for client funds.
What does this mean for investors? When you deposit HKD or USD into HashKey Exchange, your funds do not enter the platform’s operational corporate account. Instead, they are credited directly to a regulated client fund trust account held at a partner bank. Per SFC requirements, funds in these accounts must be strictly segregated from the platform’s proprietary assets. This arrangement provides the highest level of financial security: even if the platform encounters operational issues, your fiat funds held in the trust account remain legally protected and secure.
Streamlined Processes Optimized for Large-Scale OTC Trading
For XAUt OTC transactions involving millions or even tens of millions of dollars, the efficiency and limits of fiat channels are of paramount importance. HashKey Exchange’s fiat channels are specifically optimized to meet these professional needs.
- Dedicated Bank Accounts: The platform provides users with clear bank transfer instructions, supporting local transfers (e.g., Faster Payment System (FPS), Clearing House Automated Transfer System (CHATS)) and international telegraphic transfers (TT) directly into designated client trust accounts.
- Efficient Fund Clearing: Through close collaboration with partner banks, the platform enables streamlined fund reconciliation and settlement. Upon completion of compliance reviews, fiat deposits are quickly reflected in users’ trading account balances. Similarly, withdrawal requests for fiat proceeds from XAUt sales are processed promptly.
- Flexible Limit Support: Unlike many retail-focused platforms, licensed institutions can offer higher or even customized deposit/withdrawal limits to institutional clients and high-net-worth individuals who have completed full due diligence. This eliminates the hassle and risk of splitting large transactions into multiple smaller transfers due to limit constraints.
Dual-Currency Support: Rooted in Hong Kong, Connected to Global Capital
HashKey Exchange’s support for both Hong Kong Dollar (HKD) and US Dollar (USD) carries profound strategic significance.
- Serving the Local Market: HKD fiat channels greatly facilitate Hong Kong-based investors, allowing them to participate in global digital asset markets like XAUt using their familiar local currency and banking systems—eliminating currency conversion costs and exchange rate risks.
- Connecting to Global Capital: USD fiat channels open doors to international capital. As the world’s reserve currency, USD is the preferred trading currency for global investors. By offering seamless USD channels, HashKey Exchange positions itself not just as a local platform serving Hong Kong, but as an international hub capable of attracting and accommodating global capital flows.
For XAUt investors, this dual-currency support provides unparalleled flexibility. They can freely choose between HKD and USD for trading and settlement based on their capital positions, exchange rate expectations, and investment strategies. For example, a Hong Kong-based family office may prefer HKD, while an overseas fund may opt for USD. HashKey Exchange’s ability to cater to both needs exemplifies its strengths as a licensed platform within an international financial center.
In summary, a smooth, compliant, and robust fiat channel is the critical step that transforms a virtual asset trading platform from a "concept" into a practical tool. Through its licensed status, HashKey Exchange has established stable banking partnerships, optimized processes for professional trading, and supported both HKD and USD—successfully building the bridge between the physical and digital worlds. It ensures that capital flows for Hong Kong-licensed XAUt OTC trading are secure, efficient, and flexible, removing the final barriers for investors to focus on their core investment decisions.
Multi-Layered Asset Security: Cold/Hot Wallet Segregation and Independent Audits
In the digital asset world, proof of ownership ultimately boils down to control of private keys. The widely cited crypto community maxim—"Not your keys, not your coins"—poignantly highlights the fragility of asset security. When investors deposit their XAUt or other virtual assets with a centralized trading platform, they are entrusting the custody of their wealth to that platform. Therefore, a platform’s approach to protecting the private keys representing client assets is the core metric of its reliability.
Under the strict regulatory guidelines of the SFC, HashKey Exchange has established a multi-layered, defense-in-depth asset security framework. This system integrates advanced technology, rigorous operational processes, and independent external oversight to provide bank-grade security for clients’ digital assets.
Cold-Hot Wallet Segregation: Balancing Liquidity and Security
At the core of the wallet security system is a sophisticated cold-hot wallet segregation strategy. This is not a binary choice, but an art of balancing daily trading liquidity needs with the highest level of asset security.
- Cold Wallets: These are the fortress of asset security. Per SFC requirements, HashKey Exchange must store the vast majority (typically 98%) of client virtual assets in cold wallets. The term "cold" means the entire lifecycle of private key generation, storage, and transaction signing occurs in an offline environment completely isolated from the internet and any external networks. This can include dedicated air-gapped hardware devices or even paper wallets stored in bank vaults. Since cold wallets never connect to the internet, they are fundamentally immune to remote hacking attempts targeting private keys.
To further enhance cold wallet security, HashKey Exchange employs multi-signature and sharded storage technologies. Multi-signature requires transactions to be signed by multiple independent authorized parties (each holding a portion of the private key) before assets can be transferred out of a cold wallet. This prevents single points of failure or internal malfeasance: even if one authorized party is compromised or their private key fragment is leaked, assets cannot be transferred without the cooperation of other parties. Sharded storage splits the complete private key or mnemonic phrase into multiple fragments, held by different personnel in geographically distinct locations—requiring a threshold number of fragments to reconstruct the full private key.
- Hot Wallets: To meet users’ daily needs for small-value, high-frequency withdrawals, a small portion of assets (typically 2%) is held in hot wallets. Hot wallets are internet-connected, enabling automated withdrawal processing and a seamless user experience. However, convenience comes with higher security risks, so hot wallet management demands extreme caution. HashKey Exchange’s hot wallets are protected by multiple security mechanisms, including strict access controls, real-time abnormal transaction monitoring, and risk-based withdrawal limits. The platform continuously monitors hot wallet balances, replenishing them from cold wallets only when balances fall below predefined thresholds—and only following rigorous authorization procedures.
This 98/2 cold-hot segregation strategy is a testament to the SFC’s prudent regulatory principles, borrowed from traditional finance. It ensures that in the event of a worst-case hacking attack, the vast majority of client assets remain safe and intact.
Independent Audits and Insurance: Introducing External Oversight and Risk Transfer
Internal security measures alone are insufficient—a truly credible system requires independent third-party oversight.
- Regular Audits: The SFC mandates that licensed platforms engage qualified independent audit firms to conduct regular audits of their asset custody practices. These audits verify that the number of assets held in cold and hot wallets matches client ledger records (i.e., Proof of Reserves (PoR)) and that security protocols and internal controls are effectively implemented. Audit reports are submitted to the SFC and partially disclosed to the public. These external audits act as independent "watchdogs" for the platform’s asset security framework, ensuring alignment between its claims and actions.
- Comprehensive Insurance Coverage: Technology and processes can minimize risk, but never eliminate it entirely. To address unforeseen "black swan" events, the SFC requires licensed platforms to purchase adequate commercial insurance for the assets under their custody. This means platforms partner with specialized insurers to cover both cold and hot wallet assets. In the event of client asset losses due to platform liability (e.g., security breaches, internal theft), the insurer will provide compensation. This provides a final safety net for client assets, transferring a portion of extreme risks to the robust insurance market.
In conclusion, HashKey Exchange’s asset security framework is a defense-in-depth matrix composed of technology, processes, personnel, and external oversight. From the physical isolation of cold-hot wallet segregation, to the checks and balances of multi-signature technology, to the external validation of independent audits and risk transfer via commercial insurance—every component is meticulously designed to maximize the protection of clients’ XAUt and other digital assets. For investors entrusting substantial wealth to the platform, the certainty and peace of mind afforded by this system are the foundation of their confidence in navigating the volatile digital asset market.
From Professional Investors to Retail Users: An Inclusive Trading Ecosystem
The maturity and vitality of a financial market are measured not only by its ability to serve top-tier institutions, but also by its inclusivity for a broad range of participants. A healthy ecosystem should have both towering trees (institutional investors) and lush shrubs and grass (retail users), together forming a complete, layered, and liquid market. After an initial phase of cautious exploration, Hong Kong’s SFC regulatory framework formally opened its doors to retail investors in June 2023, marking a new era in the development of Hong Kong’s virtual asset market. As an active participant in this historical process, HashKey Exchange’s platform design and service philosophy embody this shift from professional-focused to inclusive finance.
This inclusivity also holds profound indirect significance for high-net-worth investors engaging in Hong Kong-licensed XAUt OTC trading.
The Inclusion of Retail Users: Enhancing Market Depth and Liquidity
Some may ask: "As an institutional client conducting large-scale OTC transactions, how does retail user participation matter to me?" This is a common misconception. The widespread participation of retail users injects foundational and stable liquidity into the entire trading platform.
- Boosting On-Exchange Market Vitality: A large base of retail users executing frequent small-value transactions on the exchange thickens the order book for trading pairs like XAUt/HKD, narrowing bid-ask spreads in the process. An active, liquid on-exchange market serves as a critical pricing reference and risk hedging venue for OTC desks. When an OTC desk quotes a price for your million-dollar XAUt buy order, a liquid on-exchange market provides an accurate price anchor and enables the desk to more effectively manage its position risk in the public market after executing your order. This ultimately translates to better, more stable OTC pricing for you.
- Creating a Healthy Price Discovery Cycle: Retail and institutional users exhibit distinct trading behaviors and interpret market information differently. Their joint participation makes the price discovery process more comprehensive and diversified. Institutional in-depth research interacts with broad retail sentiment, forming a market price that is more resilient to manipulation by any single entity. This provides all participants—including OTC users—with a more fair and equitable value benchmark.
Tiered Service System: Catering to Diverse Needs
HashKey Exchange does not adopt a one-size-fits-all service model. Instead, it has built a tiered, customized service system to meet the specific needs of different user types.
- User-Friendly Interface and Educational Resources for Retail Users: For retail users new to virtual assets, HashKey Exchange offers intuitive mobile apps and web interfaces. The platform also invests in investor education initiatives to help users understand virtual asset risks and learn basic trading knowledge. The SFC imposes strict requirements on the tokens available to retail users, typically limiting them to large-cap, highly liquid, and established assets (e.g., Bitcoin, Ethereum)—protecting inexperienced investors from the outset.
- Exclusive Services for Professional Investors (PI) and Institutional Clients: For users meeting the SFC’s "Professional Investor" criteria or institutional clients, HashKey Exchange provides elevated services, including:
- Dedicated Account Managers and OTC Desks: Access to one-on-one service, direct communication with professional OTC traders, and customized pricing and market analysis.
- Broader Product Access: Professional investors can trade a wider range of virtual assets, including some more complex or higher-risk tokens.
- Higher Trading and Withdrawal Limits: To accommodate large-scale capital deployment needs.
- API Access: For programmatic traders and institutions to connect their proprietary trading systems to HashKey Exchange’s matching engine for automated trading.
- Asset Management and Custody Solutions: Through other business units within the HashKey Group (e.g., HashKey Capital and HashKey Cloud), the platform offers value-added services such as asset management and node staking for institutional clients.
The advantage of this tiered service system is that it embraces a broad base of retail users through simplified and protective measures, while retaining top-tier institutional clients with professional, customized services. It creates a positive ecosystem cycle: retail users provide foundational liquidity, attracting institutional participation; institutional engagement brings stability and professionalism to the market, making the platform more attractive to all users.
For high-net-worth individuals seeking XAUt OTC trading in Hong Kong, choosing an inclusive platform like HashKey Exchange means more than just selecting a transaction counterparty. It means joining a complete, vibrant, and strictly regulated financial ecosystem. Within this ecosystem, investors can enjoy tailored VIP services while benefiting from the market depth and stability created by a diverse pool of participants.
Step 3: Execution and Settlement – Practical Operations for Hong Kong-Licensed XAUt OTC Trading
After completing our mental preparation (understanding value and regulation) and tool selection (evaluating compliant partners), we finally arrive at the most practical phase of the journey: executing a Hong Kong-licensed XAUt OTC transaction step-by-step. This process tests not only our decision-making skills, but also our understanding of procedures and precision in execution. It is like a meticulously choreographed ballet—every step, from account opening to quote requests and settlement, must be executed flawlessly to deliver a perfect performance. Using HashKey Exchange as an example, we break this process into clear, actionable steps.
Account Opening and Verification (KYC): The First Step in Building Trust
This is the starting point for all subsequent operations and the key step in establishing a formal legal relationship with a compliant platform. As previously discussed, the KYC process for licensed platforms is rigorous and thorough, designed to fulfill AML obligations and build a secure trading environment for you.
Process for Individual Professional Investors (PI)
For corporate clients, trusts, or funds, the KYC process is more comprehensive, requiring detailed company documentation, typically including:
While this process may seem tedious, it is precisely the value of being "licensed". Every piece of information verified adds another layer of protection to your fund security and transaction compliance. A platform that cuts corners on KYC will inevitably pose risks in other areas. Therefore, patiently completing KYC is a wise decision to embark on your compliant XAUt trading journey. Upon completion, you will have the key to accessing the exclusive VIP room—immediately opening your compliant trading account and starting your secure investment journey.
Once your account is set up and funded with sufficient fiat currency (e.g., HKD or USD) or XAUt for sale, you enter the core phase of OTC trading: requesting and locking in a quote. This is a process that blends strategy and communication skills.
As a certified professional investor or institutional client of HashKey Exchange, you will gain access to its dedicated OTC desk through secure channels—such as encrypted messaging tools (e.g., Signal, Telegram), a dedicated email address, or direct communication with your account manager.
Your first step is to clearly communicate your trading intentions to the OTC desk. A professional RFQ should include the following elements:
A clear RFQ example: "Hello, I would like to request a quote to buy 1,000 XAUt, settled in USD."
Upon receiving your RFQ, the OTC desk trader will quickly calculate an all-in price based on current market conditions, the desk’s own position risk, and your trading volume. This quote typically has the following characteristics:
The decision is now yours. You must act quickly within the quote validity period to determine if the price meets your expectations.
The "art" of this process lies in requiring you to have a basic market judgment while making decisive choices. Hesitation may cause you to miss a favorable price, while hasty acceptance may result in suboptimal execution. Building a long-term cooperative relationship with a professional, trustworthy OTC desk will help you better navigate market rhythms.
Once the price is locked, the transaction enters its final and most critical phase: settlement—the process of exchanging funds for assets. In Hong Kong-licensed XAUt OTC trading, settlement processes are designed with security, accuracy, and efficiency as core priorities.There are two common settlement methods:
This is the most recommended, secure, and efficient method, provided that your fiat funds and the OTC desk’s XAUt are already held within HashKey Exchange’s platform.If you are the buyer (purchasing XAUt with fiat currency):
If you are the seller (selling XAUt for fiat currency):
The advantages of internal settlement are obvious: speed, low cost, and minimal risk. Since asset transfers are simply database updates within the platform, they avoid the uncertainties associated with external transfers.
In special cases—such as when your XAUt is held in a personal cold wallet or you wish to receive purchased XAUt directly into your personal wallet—external settlement may be used. This method is more complex and requires close coordination between both parties.Process Example (Selling XAUt Held in a Personal Wallet):
The challenge of this method lies in counterparty risk—who should transfer assets or funds first? To manage this risk, licensed OTC desks typically leverage their reputation and standardized processes to reduce uncertainty. However, for users, the safest approach is always to deposit assets into a regulated platform before conducting transactions.
A professional transaction does not end with settlement. Comprehensive post-trade services are a key distinguishing factor between licensed institutions and unregulated platforms.
In summary, executing a Hong Kong-licensed XAUt OTC transaction is a systematic process integrating strict compliance, professional communication, and precise operations. From rigorous KYC account opening, to time-sensitive quote locking, to secure and efficient settlement, and finally comprehensive post-trade reporting—every step reflects the professionalism and reliability of a licensed institution. Understanding and following this process will help you navigate the promising digital asset market with stability and confidence.
Frequently Asked Questions (FAQ)
Q: In Hong Kong, besides licensed platforms, can I conduct XAUt OTC trading through other channels? What risks are involved
A: Theoretically, you could trade with individual sellers via social media groups or peer-to-peer (P2P) methods, but this carries extremely high risks. First is counterparty risk: you cannot verify the counterparty’s true identity or credibility—they may fail to deliver XAUt after receiving payment, or withhold funds after getting your XAUt. Second is asset source risk: XAUt obtained from unknown sources may be linked to illegal activities (the gold-token equivalent of "tainted crypto"). Once flagged by blockchain analytics tools, these tokens may be rejected by mainstream platforms in the future, or even face freezing by law enforcement agencies. Finally, compliance risk: such transactions lack proper compliance records, making them unsuitable for formal accounting and tax reporting purposes. Choosing a Hong Kong-licensed platform like HashKey Exchange for XAUt OTC trading is the only way to avoid all the above risks and ensure safe, compliant transactions.
Q: What is the typical minimum threshold for large-scale XAUt OTC trading?
A: The threshold varies by platform, but OTC services generally target transactions of significant size. In most cases, trades worth tens of thousands of US dollars can be processed via an OTC desk, while OTC is the preferred channel for transactions valued at hundreds of thousands or even millions of US dollars. For the exact minimum trading amount, it is recommended to consult HashKey Exchange’s OTC team directly. The key principle is: when your trade size is large enough to cause noticeable price impact (slippage) in the public market, you should consider using OTC services.
Q: Is the price of XAUt fully pegged to international gold prices? Will there be premiums or discounts in OTC trading?
A: The price of XAUt is highly correlated with international spot gold prices, as its value is backed by underlying physical gold. However, since XAUt trades on blockchains, its price is also influenced by factors such as market supply and demand, liquidity, transaction fees, and additional utilities brought by tokenization (e.g., fractionalization, global transferability). As a result, minor premiums or discounts may occur. In OTC trading, quotes reflect these combined factors. A reputable OTC desk will offer pricing closely aligned with real-time fair market value, with bid-ask spreads reflecting the cost of providing liquidity and assuming risks.
Q: What is the process for redeeming XAUt for physical gold?
A: The right to redeem XAUt for physical gold is a core part of its value proposition, with specific procedures set by the XAUt issuer. Typically, you need to meet a minimum redemption quantity (e.g., tens or hundreds of XAUt tokens). The process generally includes: submitting a redemption application via official channels, completing additional identity verification, and paying associated minting and transportation fees. The issuer will then arrange for the corresponding quantity of gold bars to be securely delivered from its partner vaults to your designated address or bank safe deposit box. It is worth noting that for most investors, holding XAUt tokens offers far greater liquidity and transaction convenience than holding physical gold. Therefore, demand for redemption is relatively low, and it serves more as an ultimate safeguard.
Q: How does HashKey Exchange’s OTC service differ from its on-exchange trading? How should I choose between them?
A: The main differences lie in trading model and applicable scenarios. On-exchange trading uses an anonymous, public order book matching system, suitable for small-value, high-frequency traders. Prices are determined in real time by the market, but large orders may incur slippage. OTC services operate on a private, one-on-one negotiation model, designed exclusively for large-scale transactions. You can lock in a fixed price to avoid slippage and keep your trading intentions confidential from the broader market. The selection criteria are straightforward: if your transaction amount is small and unlikely to impact market prices, on-exchange trading is suitable. If your transaction size is large, and you seek price certainty and privacy, then **Hong Kong-licensed XAUt OTC trading** (i.e., choosing OTC services) is the more professional and prudent option.
Q: Why does the SFC require 98% of customer assets to be stored in cold wallets? Will this affect my withdrawal speed?
A: This is a prudent regulatory requirement formulated by the SFC based on the highest security standards. Cold wallets are physically isolated from the internet, providing maximum protection against hacking attacks. Storing the vast majority of assets (98%) offline is designed to safeguard the fundamental security of customer funds. The remaining 2% of assets are held in hot wallets to meet daily withdrawal needs. For regular small-value withdrawals by most users, hot wallet reserves are sufficient—thus, withdrawal speed is not affected and can be processed almost instantly. Only in extreme scenarios, such as all users initiating large-scale withdrawals simultaneously, would the platform need to transfer assets from cold wallets. In such cases, processing times may be longer, as cold wallet withdrawals require strict multi-party authorization procedures. This design strikes the optimal balance between maximum security and day-to-day convenience.
Q: When conducting XAUt OTC trading on HashKey Exchange, who is my counterparty?
A: When you trade via HashKey Exchange’s OTC desk, your direct counterparty is HashKey Exchange itself. As a licensed broker-dealer and market maker, it uses its own capital and inventory to fulfill your buy or sell orders. This differs from on-exchange trading, where counterparties are other anonymous buyers or sellers in the market. The advantage of trading directly with a licensed institution is that you are dealing with a reputable, well-capitalized entity supervised by the SFC—this significantly reduces the risk of counterparty default.
Conclusion
After navigating the layers of theory, regulation, and practice surrounding Hong Kong-licensed XAUt OTC trading, a clear picture emerges. What we have explored is far more than an alternative investment option—it represents an elegant fusion of traditional value and cutting-edge technology within a rigorous legal framework, at this pivotal juncture in 2026. It symbolizes a new possibility: gold, the ultimate store of value forged over millennia of civilization, can shed the cumbersome constraints of its physical form and be reborn in the digital world as a lightweight, efficient, and programmable asset.
Hong Kong’s role in this transformation is that of a prudent guide and steadfast enabler. The regulatory framework established by the SFC is not rooted in restriction, but in **facilitation**. By setting strict entry barriers, clear asset security standards, and ongoing operational oversight, it defines safe boundaries for innovation—providing fertile ground for genuine, sustainable financial innovation to thrive. When the term "licensed" is paired with XAUt OTC trading, it confers a system-backed, trusted certainty—a quality that is particularly precious amid the uncertainties of the global macroeconomic landscape.
For investors in this space—whether high-net-worth individuals, family offices, or financial institutions—this represents a paradigm shift. In the past, entering the virtual asset space was often viewed as a high-risk gamble; today, through compliant channels like HashKey Exchange, it is evolving into a rigorous discipline that can be integrated into mainstream asset allocation frameworks. From understanding the deeper value of XAUt, to selecting a partner with dual licenses, robust risk controls, and comprehensive infrastructure, to following every precise step from KYC to settlement—this is a path toward professionalism and maturity.
Ultimately, we must recognize that the ultimate purpose of any financial tool or trading model is to serve human well-being and development. What Hong Kong-licensed XAUt OTC trading offers us is more than just a tool for hedging inflation and diversifying risk. It provides a modern way to safeguard our wealth and confidence in an increasingly digital world. It reminds us that even in an era of rapid iteration of code and algorithms, time-honored principles of trust, security, and value can be preserved and advanced through thoughtful institutional design. This, perhaps, is the most profound and valuable takeaway from this journey of financial innovation.
This material is for general information purposes only. It does not constitute, nor should be interpreted as, any form of solicitation, offer or recommendation of any product or service. It does not constitute investment, tax or legal advice. In no event should any news release be considered as recommendation of a particular type of digital asset. This material may include market data prepared by HashKey Exchange or data from third party sources. While HashKey Exchange makes reasonable efforts to ensure the reliability of such third-party information, such information may have not been verified. Graphics are for reference only. We make no representation or warranty, express or implied, to the timeliness, accuracy or completeness of the information in this material. Information may become outdated, including as a result of new plans, regulations or changes in the market. In making investment decisions, investors should not solely rely on the information contained in this material. The risk of loss in trading digital assets can be substantial and is not suitable for all investors. Any forward-looking statements in this material is subject to several conditions, uncertainties and assumptions. We undertake no obligation to update or revise any forward-looking statements. The English version shall prevail if there is any inconsistency between the English and Chinese versions.