A state-owned giant just entered the crypto arena — and markets are paying attention.

Guotai Junan International (1788.HK), the offshore arm of one of China’s largest brokerages, has officially been granted approval by the @Hong Kong Securities and Futures Commission (SFC) to offer virtual asset trading and advisory services. The announcement marks the first time a Chinese state-backed brokerage has secured a full suite of crypto-related licenses in Hong Kong.

🔍 What’s Included in the License?

The upgraded Type 1 license now allows Guotai Junan International to offer trading services in cryptocurrencies like Bitcoin, Ethereum, and stablecoins such as USDT — in addition to providing investment advice and distributing virtual asset-related products.

💥 Stock Market Reaction

Investors quickly took note: shares of Guotai Junan International surged over 190% at peak on June 25, before volatility set in. As of June 26, the stock remains highly active, reflecting both investor enthusiasm and caution.

⚔️ Rising Competition Among Licensed Platforms

This move intensifies the competitive landscape in Hong Kong’s licensed virtual asset scene, where players like HashKey Group , 勝利證券 , and OSL already operate. Industry watchers expect pricing and user acquisition strategies to shift quickly, especially among traditional brokers with retail and institutional footprints.

🏦 The Bigger Picture

Guotai Junan International's breakthrough highlights the broader regulatory shift in Hong Kong — welcoming licensed crypto activity while maintaining a high compliance bar. It also signals growing confidence among China-affiliated institutions to test digital finance waters in a sandboxed, offshore setting.

💬 Will more mainland-backed brokerages follow suit — and how will this reshape Hong Kong’s financial identity as a Web3 hub?