The CSRC takes action + Hong Kong ICF provides a safety net, making the compliance costs for cross-border brokers visibly increase under dual regulation

BlockBeats reports that the China Securities Regulatory Commission (CSRC) has initiated an investigation into Changqiao Securities' domestic and overseas related entities and plans to impose administrative penalties. Changqiao Securities responded that its licensed entities are regulated by the Hong Kong Securities and Futures Commission (SFC) and other overseas regulatory agencies, with client funds completely segregated from company operating funds, stored in independent custodial bank accounts as required by regulations; US stocks and Hong Kong stocks are respectively custodied by DTCC and HKSCC, and are protected by the Hong Kong Investors Compensation Fund (ICF). At the same time, the company will strictly implement all rectification requirements and promote related arrangements in accordance with the law and regulations.