Hong Kong Regulator has regulated companies now offered adjusting services

Hong Kong’s Securities and Futures Commission (SFC) published Guidance Monday Licensed Virtual Asset Trading Platforms to offer expansion services, after its efforts to establish the city as a hub for crypto and virtual assets in the Asia-Pacific region.

The announcement came during SFC -executive director Christina Chois Keynote speech At the Hong Kong Web3 Festival 2025, in which she framed how virtual assets could stimulate innovation in finance.

Choi, who leads the SFC’s Investments Products Division, told how her son confused a floppy drive for a “3D-printed Save button”. While the illustration seems to be reusedChois statements were intended to think about “how quickly technology racing forward.”

The new Framework for switching off– A process in which investors lock virtual assets to support blockchain networks and earn rewards – requires platforms to maintain custody of set assets and at the same time implement specific guarantees.

License platforms must receive SFC approval before they offer strike services and “maintain or control all media” for withdrawal mechanisms, reads the circular.

According to the requirements of the framework, associated risks, including the lowering of fines, non-stacking processes (and duration), lock-up periods and technical vulnerabilities due to “hackriso and inactivity”, must also be announced.

These developments follow the initiatives of the supervisor of earlier in February this year, when it sketched roadmap To improve market access, to sharpen the guarantees of the regulations and to expand the series of virtual assets that can be offered within its jurisdiction.

Hong Kong has built a considerable momentum in regulated digital assets since he became the first jurisdiction in Asia, which is virtually active active Spot ETFs for Bitcoin and Ethereum In April last year.

A study From financial services and investment firm State Street projects that the Digital Asset market of Hong Kong, as part of the growing ETF market in China, would be more than $ 700 billion within the year and Japan would raid Japan per size.

“Just as the floppy disk changed how we stored information long before Web 1.0 was maintained, Blockchain Technology can rewrite the rules of finance and further,” Choi said.

Published by Sebastian Sinclair