Money Service Operator License in Hong Kong

• Money changing services (currency exchange)

• Remittance services (sending/receiving funds domestically and cross‑border)

• Use of agents/branches (subject to notification/approval)

• Digital channels and online onboarding (subject to e‑KYC controls)

• Locally incorporated entity (or eligible form) with approved principal place(s) of business; fit & proper controllers/management

• Responsible officers; compliance officer & MLRO appointed; training programme for staff/agents

• Premises: secure, accessible, with CCTV, recordkeeping and customer‑facing disclosures

• AML/CTF framework per AMLO & MSO Guideline: CDD/KYC (risk‑based), ongoing monitoring, EDD for high‑risk/PEP, sanctions screening

• Wire transfer information requirements (originator/beneficiary data) and travel‑rule‑equivalent for remittances

• Recordkeeping: CDD/transaction records retained ≥ 6 years; STR filing to JFIU

• Consumer protection & transparency: receipts, fees/FX disclosures, complaints handling

• Outsourcing/vendor oversight; cybersecurity and data protection; BCP/DR and incident management

Core Hong Kong team (indicative):

• CEO/Responsible Officer

• Compliance Officer & MLRO (may be separate or dual‑hatted with deputy)

• Operations/Remittance Lead; Branch/Agent Manager (if applicable)

• Risk & Internal Controls; Training lead

• IT/Security support; Data protection officer (function)

• Finance/Accounting; External auditor

• KYC stack (IDV), sanctions/PEP screening, adverse media

• Transaction monitoring & case management; corridor rules & velocity limits

• Automated reporting (STR/SAR prep, threshold reports)

• FX rate engine & fees calculator; receipts & disclosures

• Agent onboarding toolkit and oversight; branch controls

• APIs with banks/payment partners; audit trails & retention

Hong Kong domestic authorisation; no passporting. Cross‑border remittance via correspondent/partners subject to destination rules.

• Profits Tax: 16.5% (standard corporate rate).

• No VAT/GST; no capital gains tax regime.

• Payroll and other employment taxes per Hong Kong law.

• Operational bank accounts in Hong Kong; settlement/correspondent accounts for corridors.

• Client funds handling per disclosures; reconciliation and segregation practices per risk policy.

• Insurance or guarantees (if required by partners) for agent/float handling.