ChainCatcher Message: The People's Bank of China recently released the 'China Financial Stability Report (2024)', which mentions global cryptocurrency regulatory dynamics, including compliance progress for cryptocurrencies in Hong Kong.
The report points out that, given the potential spillover risks of crypto assets on the stability of the financial system, regulatory authorities in various countries are continuously strengthening their oversight of crypto assets. Currently, 51 countries and regions worldwide have enacted prohibitions on crypto assets, and some economies have adjusted existing laws or re-legislated regulations.
Among them, Hong Kong is actively exploring the management of crypto asset licenses, categorizing virtual assets into two types for regulation: securitized financial assets and non-securitized financial assets. A distinctive 'dual license' system is implemented for operators of virtual asset trading platforms, applicable to both the Securities and Futures Ordinance and the Anti-Money Laundering Ordinance. Institutions engaging in virtual asset businesses must apply for a registration license from the relevant regulatory authorities to operate. At the same time, Hong Kong requires large financial institutions such as HSBC and Standard Chartered to incorporate cryptocurrency exchanges into their routine client oversight.