Hong Kong: Implemented Anti-Money Laundering and Counter-Terrorist Financing (Amendment) Bill 2022

On 1 June 2023, the Anti-Money Laundering and Counter-Terrorist Financing (Amendment) Bill 2022, establishing a new licensing regime for virtual asset service providers (VASPs) in Hong Kong, came into force. The Bill amends the current Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615) and ensures alignment with the international standards set by the Financial Action Task Force (FATF). The Bill requires VASPs to be registered by the Securities and Futures Commission. Registration is granted if the applicant is a locally incorporated company or a company registered under the Companies Ordinance, solvency is satisfactory, and the presence of two "responsible officers" is proven. Finally, licensed VASPs are required to perform customer due diligence and keep records of customer data and transactions.