[Medium] Hong Kong SFC Considers Introducing Virtual Asset Derivatives Trading

Hong Kong SFC Mulls Virtual Asset Derivatives Trading

On June 4, Christopher Hui noted that the Hong Kong SFC is studying the possibility of allowing professional investors to trade virtual asset derivatives, and will implement sound risk management frameworks. This initiative will further diversify Hong Kong’s financial product landscape while maintaining a safe and transparent trading environment.

Qiao Zheyuan, a partner at JunHe LLP’s Hong Kong office specializing in virtual assets and financial derivatives, told reporters that introducing derivatives will provide more diversified investment options for virtual asset investors. It can also cater to the needs of hedgers, speculators, and arbitrageurs in the market.

According to Christopher Hui, virtual asset derivatives trading in Hong Kong will initially be limited to professional investors. Under Hong Kong’s Securities and Futures Ordinance, professional investors include institutional, corporate, and individual categories. Individual professional investors must hold an investment portfolio exceeding HK$8 million (or equivalent in foreign currency), including cash, deposits, and securities defined under the ordinance.

Second Virtual Asset Policy Statement on the Way

Hui announced that in light of recent developments in the virtual asset market, the Hong Kong government will issue a second virtual asset policy statement outlining future policy direction. This includes combining traditional financial services with innovation in the virtual asset sector, enhancing the safety and flexibility of real-world economic activities, and encouraging local and international companies to explore innovation and applications of virtual asset technologies. The government will also refine tax incentives for funds, single-family offices, and carried interest—potentially extending them to virtual assets.

This policy declaration stated that Hong Kong holds an open and inclusive attitude toward global innovators engaged in virtual asset business, and the Hong Kong SAR Government is working with financial regulatory institutions to create a conducive environment to promote the sustainable and responsible development of Hong Kong’s virtual asset industry. In terms of regulation, a consistent, clear, and comprehensive regulatory framework will help lay a solid foundation to embrace the rapid financial and technological innovations brought by the global development of virtual assets. While preparing for the new virtual asset service provider licensing regime, it also welcomes virtual asset exchanges from around the world to explore business opportunities in Hong Kong.

https://medium.com/@incredible_bud_kangaroo_674/%E9%A6%99%E6%B8%AF%E8%AF%81%E7%9B%91%E4%BC%9A%E6%8B%9F%E5%BC%95%E5%85%A5%E8%99%9A%E6%8B%9F%E8%B5%84%E4%BA%A7%E8%A1%8D%E7%94%9F%E5%93%81%E4%BA%A4%E6%98%93-%E4%B8%9A%E5%86%85-%E5%B0%86%E4%B8%BA%E5%B8%82%E5%9C%BA%E6%8F%90%E4%BE%9B%E6%9B%B4%E5%A4%9A%E6%8A%95%E8%B5%84%E9%80%89%E6%8B%A9-%E6%BB%A1%E8%B6%B3%E5%A4%9A%E6%A0%B7%E5%8C%96%E6%8A%95%E8%B5%84%E9%9C%80%E6%B1%82-78f5aa1a9448#id_token=eyJhbGciOiJSUzI1NiIsImtpZCI6IjBkOGE2NzM5OWU3ODgyYWNhZTdkN2Y2OGIyMjgwMjU2YTc5NmE1ODIiLCJ0eXAiOiJKV1QifQ.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.OayTFzY6v6_ubCiM-LEKgcSJ8vAWRYLteBT7po2cYmrfAX3lieBmRlOKM_zqCiksilcbAvBEA-tNw4dDQxQTBMC1kyfkTZm1uJt81oFmBkAipNQpEIFqnlh7_bPqFpFKZOs1F0bXK_u6QLgOtkCy_RECIFA2LmPDWvQh4fP5uakbk4C8xynQgUx6iDGCba1ceWtS4tOLqsI783zgg1uKl3VvEzHtZYg1WEs06cFI8smOHGGeS_IS8OP2xAApR9d2M6bsLBpwGyzxyE3vQgOVkMem47Jt2PNytPsLV5LPEwcRd_1XCIN-vLKDVdeXPvN3_p_qYzv9bhZTeFrFDR044Q