Justin Sun, the founder of TRON, is confident that Huobi will be granted a Virtual Asset Service Provider (VASP) license by Hong Kong's Securities and Futures Commission (SFC).

The new licensing regime, which came into effect on March 1, requires entities providing crypto services in Hong Kong to apply for a VASP license. The application process involves an assessment of the entity based on its responsible officers, fit and proper tests, and appropriate record keeping, among other requirements.

Speaking to CNBC, Sun said he was “100% confident” that Huobi would be granted the license, given its standing in the Asia market. “Definitely, 100% confident for Huobi to get a license because Huobi is one of the leading blockchain platforms in Asia.”

Sun also said that he believes regulation “is good for the industry,” especially in Hong Kong due to client expectations of regulatory certainty. He added that Huobi was the first crypto exchange to apply for the VASP license, and that he had held talks with the SFC to advise on developing an appropriate digital asset framework.

Rumors that Sun and disgraced former FTX CEO Sam Bankman-Fried were involved in Huobi's sale to About Capital Management in October 2022 were denied by both parties. However, Sun did confirm that he had taken on an advisory role at the exchange. In January, a press release reported that the exchange was under Sun’s “leadership” in its “path to rebirth.”

The SFC has yet to announce whether Huobi will be granted the VASP license. However, Sun remains confident that the exchange will be successful in its application. If granted, Huobi will be the first crypto exchange in Hong Kong to receive the license.