Saxo Financial (Hong Kong) Limited was reprimanded by the SFC and fined HKD 4 million for violating regulatory regulations when distributing virtual asset-related products.

2026-01-07 01:29:27

Deep Tide TechFlow News, January 7 — According to the Hong Kong Securities and Futures Commission (SFC), the SFC has condemned SGF Hong Kong Limited (SGF Hong Kong) and imposed a fine of HKD 4 million for deficiencies related to its online trading platform (the platform) distributing unapproved virtual asset funds and virtual asset-related products (collectively, Virtual Asset Products).

Between November 1, 2018, and November 25, 2022 (the Relevant Period), SGF Hong Kong permitted retail clients to buy and sell various Virtual Asset Products on its online platform. According to two circulars issued by the SFC to intermediaries that took effect during key periods, these products should only be sold to professional investors.

The SFC’s investigation found that during the Relevant Period, SGF Hong Kong executed 1,446 transactions involving 32 Virtual Asset Products for six individual professional investors and 130 retail clients on its online platform. All of these products were complex products, including 21 exchange-traded derivatives (Exchange-Traded Derivative Virtual Asset Products).

Before executing these transactions, SGF Hong Kong did not assess whether the clients had the knowledge to invest in Virtual Asset Products, nor did it provide sufficient information or specific warnings about virtual assets to the clients, thus failing to comply with the guidelines set out in the two SFC circulars.

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