Guotai Junan Int'l skyrockets on becoming first Chinese mainland firm cleared for crypto trading in Hong Kong   2025-06-26

Shares of Guotai Junan International Holdings nearly tripled in value after Hong Kong’s securities regulator approved it as the first unit of a mainland-headquartered company to offer trading services for virtual assets, including cryptocurrencies and stablecoins.

GTJAI, the Hong Kong-based subsidiary of Shanghai-headquartered financial services provider Guotai Haitong Securities, surged 198 percent to HKD3.70 (US 50 cents) on Wednesday in Hong Kong, marking a 249 percent increase year-to-date.

The Securities and Futures Commission of Hong Kong approved GTJAI’s upgrade from a securities trading license to include virtual asset trading services, the company announced earlier today. The new services also cover providing trading advice and issuing and distributing virtual asset-related products, including over-the-counter derivatives.

This move opens the door for GTJAI to enter the crypto market of Hong Kong, widely regarded as a gateway between foreign markets and China's mainland.

Hong Kong has been actively standardizing its crypto regulations. In June 2023, the SAR implemented its virtual asset licensing regime, requiring all service providers to obtain an SFC license under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance, legislation aimed at combating money laundering and terrorist financing. The SAR has also enhanced regulations for stablecoins and tokenization.

An increasing number of institutions are entering this emerging sector, including virtual asset exchanges, Web 3.0 companies, and brokerages. Currently, nearly 40 brokerage firms have upgraded their licenses to offer virtual asset trading services in Hong Kong, including a unit of Singapore-based Tiger Brokers, a subsidiary of Hong Kong-based Futu Securities, and Thousand Whales Technology, the local operator of the xWhale virtual asset trading platform.

GTJAI’s surge also lifted its parent company. Guotai Haitong Securities rose 9.1 percent to close at CNY20.29 (USD2.80) in Shanghai on Wednesday.

Source: Yicai Global