Hata Secures Preliminary Approval to Operate as Digital Asset Exchange in Malaysia
Summary:
Hata, a Malaysia-based firm, has secured preliminary approval from Securities Commission Malaysia to operate as a digital asset exchange and digital broker. This makes Hata the fifth regulated digital asset exchange in Malaysia and the first to receive legal sanction to display trade orders from other approved exchanges. The approval could see Hata begin its operations within six to nine months. Prior to this, Hata also received a money broker license enabling it to trade in USD.
The Malaysian firm, Hata, has been given preliminary authorization by the Securities Commission Malaysia (SC) to operate as a digital asset exchange and broker, making it a Recognized Market Operator (RMO). This endorsement paves the way for Hata to begin its operations within the next six to nine months. Hata is set to become the fifth digital asset exchange under official regulation in Malaysia and the first approved legal entity permitted to display trade orders from other sanctioned exchanges. Earlier in June, Hata was granted a money broker license from the Labuan Financial Services Authority, allowing them to trade in USD in the Labuan International Business and Financial Centre, a key economic zone.
Hata's co-founder, David Low, previously involved with Luno, the country's most significant crypto exchange, left the firm in April. Low played a critical role in Luno's success as the pioneering digital asset exchange in Malaysia back in 2019. According to Low, "The objective is to simplify the process of investing in digital assets for businesses, institutional investors, and affluent individuals in Malaysia.”
There have been cases of other crypto exchanges attempting to infiltrate the Malaysian market, but without much success. Binance was instructed to shut down its operations for not having RMO status in July 2020, but the exchange didn't close until a year later. Binance made its return to Malaysia in March when it acquired a share in RMO MX Global. Huobi Global, now referred to as HTX, was also ordered to halt operations in Malaysia due to the absence of SC registration.
Malaysian citizens have the alternative of utilizing an app provided by Kenanga Investment Bank Berhad to trade crypto. The prominent private bank formed a partnership with China's Ant Group in August 2022, leading to the creation of a trading app and wallet.
Published At
10/11/2023 7:30:00 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.