Company: MEGL
Filing Date: 2025-04-14
Form Type: 20-F
Source: 0001641172-25-004566
Chunk: 15

Company: Magic Empire Global Ltd
Filing Date: 2025-04-14
Form: 20-F
Item: Item 3
Chunk 15
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 exchange should also be subject to cybersecurity
review, and further elaborated the factors to be considered when assessing the national security risks of the relevant activities. On
December 28, 2021, the CAC, the National Development and Reform Commission (“ NDRC”), and several other administrations jointly
issued the revised Measures for Cybersecurity Review, or the “ Revised Review Measures”, which became effective and replaced
the existing Measures for Cybersecurity Review on February 15, 2022. According to the Revised Review Measures, if an “online platform
operator” that is in possession of personal data of more than one million users intends to list in a foreign country, it must apply
for a cybersecurity review. Based on a set of Q& As published on the official website of the State Cipher Code Administration in connection
with the issuance of the Revised Review Measures, an official of the said administration indicated that an online platform operator should
apply for a cybersecurity review prior to the submission of its listing application with non-P RC securities regulators. Moreover, the
CAC released the draft of the Regulations on Network Data Security Management in November 2021 for public consultation, which among other
things, stipulates that a data processor listed overseas must conduct an annual data security review by itself or by engaging a data
security service provider and submit the annual data security review report for a given year to the municipal cybersecurity department
before January 31 of the following year. Given the recent issuance of the Revised Review Measures and their pending effectiveness, there
is a general lack of guidance and substantial uncertainties exist with respect to their interpretation and implementation.

It
remains unclear whether a Hong Kong company shall be subject to the Revised Review Measures. We do not currently expect the Revised Review
Measures to have an impact on our business or operations. Our operations are primarily located in Hong Kong through our operating subsidiaries
in Hong Kong and a few of our clients are PRC corporates. GCL may collect and store certain data (including certain personal information)
from our clients for “ Know Your Customers” purpose, who may be PRC individuals. As of date of this Annual Report, GCL has
collected and stored personal information of fewer than 100 PRC individual clients. As a result, we do not currently expect that we would
be subject to cybersecurity review requirements even if such requirements for mainland China companies under PRC law were to be extended
to Hong Kong. However, there remains significant uncertainty in the interpretation and enforcement of relevant PRC cybersecurity laws