The Hong Kong SFC requires DeFi projects to be regulated and apply for licenses

ChainCatcher news, the acting head of the Intermediaries Division of the Hong Kong Securities and Futures Commission, Choi Chung-fai, stated today at the "2023 Hong Kong Web3 Carnival" that DeFi projects need to be regulated by the SFC, and automated trading services also fall under SFC regulation. Decentralized exchanges that involve virtual assets also need to apply for a license. Some DeFi protocols are nominally decentralized, but in reality, a small number of developers hold a large amount of governance tokens, and it is necessary to analyze their substance rather than just their superficial claims. (Source link)