Saxo Financial was reprimanded and fined HK$4 million by the Hong Kong Securities and Futures Commission for illegally distributing virtual asset products.

PANews reported on January 7th that, according to a Hong Kong Securities and Futures Commission (SFC) announcement, Saxo Bank Financial (Hong Kong) Limited was reprimanded and fined HK$4 million for violating regulatory requirements by distributing unapproved virtual asset-related products to 130 retail clients and 6 professional investors between 2018 and 2022. The SFC stated that Saxo failed to assess clients' knowledge of virtual assets, lacked due diligence on its products, and made adequate disclosures; these deficiencies persisted for over four years. Saxo has terminated its regulated activities and voluntarily compensated clients for their losses and is cooperating with the investigation.