On 20 February 2023, the Securities and Futures Commission (the “SFC”) issued a consultation paper on proposed regulatory requirements for virtual asset trading platform operators licensed by the SFC (the “Consultation Paper”). The Consultation Paper is a follow-up consultation of the Anti-Money Laundering and Counter-Terrorist Financing (Amendment) Bill 2022 (the “Bill”) which was gazetted in June 2022 and passed in December on the same year, introducing a new licensing regime for virtual asset service providers (the “AMLO VASP regime”) (see our news update on the Bill). The Consultation Paper further explains and sets out the proposed changes in regulatory requirements and proposed transitional arrangements under the regime for centralised virtual asset trading platforms (the “VA Trading Platforms”) trading non-security tokens coming into effect on 1 June 2023. Industry and public proposals are invited on the applicable regulatory approach. The public comment period ends on 31 March 2023.