OSL owner denies reports of selling crypto business in Hong Kong
BC Technology says statements in Bloomberg’s article are ‘factually inaccurate and highly misleading.’
Hong Kong’s BC Technology Group Ltd. has denied recent reports saying that the company is exploring the sale of its licensed crypto platform OSL.
In a recent Hong Kong stock exchange filing, the firm said that the “contents and statements” made in Bloomberg’s article are “factually inaccurate and highly misleading,” the South China Morning Post reports.
In the article that surfaced on Oct. 16, Bloomberg said, referring to people familiar with the matter, that BC Technology Group had “gauged interest” in OSL from buyers at a HK$1 billion ($128 million) valuation. After the news broke, BC Technology’s shares dropped by over 34% to HK$2.8, according to data from Google Finance.
The news came amid reports that two China-tied brokers plan to apply for a virtual asset service platform (VASP) license to offer services for retail clients in Hong Kong. According to Nikkei Asia’s sources familiar with the matter, Yax and PantherTrade are undergoing third-party assessments to submit their applications with the Securities and Futures Commission (SFC).
In just a year, Hong Kong has moved from being a cryptocurrency-unfriendly region to claiming the top spot among the most cryptocurrency-ready regions as uncertainty around the regulation of the crypto industry in the U.S. keeps growing.
Yet, only two companies have been granted crypto licenses in Hong Kong: OSL and Hashkey, while other brokers are reportedly waiting for more clarity on Hong Kong’s rules.
