A detailed roadmap created by Hong Kong’s Securities and Futures Commission ( SFC) has been released, detailing key activities that will improve the city’s location as a leading worldwide hub for virtual goods.
The SFC’s” ASPIRe” strategy introduces a five-pillar framework—Access, Safeguards, Products, Infrastructure, and Relationships—each targeting important elements of the online resource habitat, as per the SFC’s Wednesday statement.
The 12-initiative strategy was created to promote growth by enhancing marketplace access, strengthening regulatory controls, and expanding the range of digital asset products that are offered.
This strategy is” a living blueprint, not a last place,” according to Dr. Eric Yip, SFC’s Executive Director of Intermediaries, who also “invites collective efforts to advance Hong Kong’s perspective as a global hub where innovation flourishes within handrails.”
Hong Kong’s regulatory watchdog hopes that the roadmap will make virtual assets a more inclusive, secure, and innovative environment, keeping it a competitive and appealing destination for international platforms and institutional players.
Key pillars of the ASPIRe roadmap
By introducing new licensing standards for OTC trading and custodians, the Access pillar aims to simplify market entry.
The Products pillar is designed to expand virtual asset offerings, including new token listings and derivatives, while the Safeguards pillar focuses on improving investor protection with refined operational requirements and compliance measures.
The Relationships pillar encourages collaboration with industry stakeholders through ongoing dialogue and regulatory refinement, while the Infrastructure pillar modernizes market oversight by utilizing cutting-edge technologies to ensure market integrity.
The SFC intends to expand on its success by introducing a framework for virtual asset custodians and providing more clarity and improvements to its regulatory framework.
A second consultation round and a final licensing regime for custodians are anticipated by the end of 2025 as part of the government’s regulatory framework. Over-the-counter ( OTC ) trading activities will also be reviewed.
Jodee Lee, Head of Legal at crypto exchange Flipster, told that Hong Kong’s phased approach to virtual asset regulation, “reflects a calculated strategy to balance market growth with risk management”. Lee added that,” By initially permitting access to professional investors only, the SFC ensured that trading platforms could refine compliance protocols, stress-test their operational resilience, and implement investor protections without exposure to retail participants”.
In addition to the roadmap’s strategic pillars, Hong Kong has made notable progress in the virtual asset space.
The SFC’s proactive approach includes the introduction of a VATP ( Virtual Asset Trading Platform ) licensing regime in 2023, which will provide crystal-clear guidance to crypto companies looking to conduct business in the area.
By February, the SFC had licensed 10 platforms, including industry leaders such as Bullish and HashKey.
Regional competition
Hong Kong is carving out a niche as a market leader for virtual assets regulation, but it is increasingly in line with Singapore in Asia.
With big names like Robinhood already targeting the city, the latter is expanding its digital asset services to the entire region.
” Both Singapore and Hong Kong operate strict regulatory regimes for virtual asset exchanges, Chengyi Ong, Head of Policy APAC at Chainalysis, told “. Ultimately, the race to attract global businesses is unlikely to be won or lost on legislative factors.”
Ong added that regulators can “distinguish themselves from one another by their efficiency in evaluating licence applications and their agility in adapting requirements in response to technological developments and industry feedback.”
Hong Kong’s new roadmap is a” pragmatic approach to solidify Hong Kong’s role as a trusted nexus for virtual asset liquidity,” the SFC said.
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