Hong Kong's Securities and Futures Commission (SFC) Published by: After establishing the city as an Asia-Pacific hub for virtual and crypto assets, the government issued a Monday guidance allowing licensed platforms that trade virtual assets to offer stake services.
The announcement came during SFC Executive Director Christina Choi's Speakers She spoke at the Hong Kong Web3 Festival, 2025 where she explained how virtual assets can spur innovation in financial services.
Choi, who leads the SFC's Investments Products Division, recounted how her son mistook a floppy disk for a "3D-printed save button." The illustration may appear to be reused, Choi's statements were meant to reflect on "how fast technology races forward."
New Frame for stakeout—a process where investors lock virtual assets to support blockchain networks and earn rewards—requires platforms to maintain custody of staked assets while implementing specific safeguards.
Licensed platforms need to receive SFC approval before offering staking services, and "maintain possession or control of all mediums" for withdrawal mechanisms, the circular reads.
Per the framework's requirements, associated risks, including slashing penalties, unstacking processes (and durations), lock-up periods, and technical vulnerabilities due to "hacking risk and inactivity," also need to be disclosed.
These developments follow the regulator's initiatives from earlier in February this year, when it outlined a You can find out more about it here. It will improve access to the market, increase regulatory protections, and broaden the virtual assets it can offer within its jurisdiction.
Hong Kong is the leading jurisdiction in Asia for regulating digital assets. Bitcoin ETFs and Ethereum spot ETFs The April 2013 issue of the magazine was published.
The following are some of the ways to get in touch with each other You can also read about the study of from financial services and investment firm State Street projects that Hong Kong's digital asset market, as part of China's growing ETF market, would exceed $700 billion within the year and overtake Japan by size.
"Just as the floppy disk transformed how we stored information long before Web 1.0 took hold, blockchain technology has the potential to rewrite the rules of finance and beyond," Choi said.
Sebastian Sinclair edited the book
