Hong Kong Securities and Futures Commission clarifies robust custody standards for virtual asset trading platforms

PANews reported on August 15th that, according to Jinshi, the Hong Kong Securities and Futures Commission (SFC) today issued a circular to all licensed virtual asset trading platforms, clarifying its requirements for robust custody of client virtual assets. This circular lays a solid foundation for the industry's gradual adoption of more advanced custody technologies under the ASPIRe roadmap. In the latest circular, the SFC outlines several best practices and minimum standards that virtual asset trading platform operators should meet, covering senior management responsibilities, the infrastructure and operation of client cold wallets, the use of third-party wallets, and real-time threat monitoring. These standards will become core regulatory requirements for virtual asset custodians in the future and will help promote the establishment of an effective virtual asset custody framework within the industry.