Hong Kong's new regulations for virtual asset trading platforms require them to obtain licenses from respected financial regulators, such as the Securities and Futures Commission, in order to provide investors with greater confidence in the market. The cost of obtaining a license could be as high as $20 million, which may deter smaller companies. Exchanges must meet strict requirements, including maintaining a paid-up share capital of HKD 5 million ($640,000) and liquid assets equivalent to at least a year of operating expenses. The hope is that once platforms obtain licenses, investors can trade in fairly liquid markets and have exposure to virtual assets. However, derivatives are still not allowed and tokens must meet certain criteria, including having a one-year track record and being listed in two acceptable indices.