Hong Kong Allows Licensed Crypto Exchanges and ETFs to Offer Staking
Date: 2025-04-08 Author: Henry Casey Categories: IN WORLD
Hong Kong’s top financial regulator, the Securities and Futures Commission (SFC), has announced new regulations that allow licensed virtual asset trading platforms (VATPs) and crypto ETFs to offer staking services. The move is part of the government’s strategy to transform the special administrative region into a regional crypto hub.
The SFC said that demand for staking services among investors continues to grow, and the technology itself has the potential to improve blockchain security. “We recognize the growing interest in staking and see its contribution to enhancing network security,” the SFC noted.
The new rules require crypto companies to obtain prior written approval from the regulator before launching staking services. In addition, they must implement effective security measures to minimize risks and ensure the protection of clients’ assets. Companies are also required to disclose in detail all possible risks associated with the services they provide.
These regulations are part of a broader government roadmap for the development of cryptocurrency infrastructure, presented in February this year. The plan includes 12 initiatives, including exploring the possibility of listing new tokens, introducing margin trading, developing derivatives, and offering staking, lending, and lending services.
SFC Director-General Julia Leung emphasized that expanding the range of regulated services and products is key to supporting the sustainable growth of Hong Kong’s crypto ecosystem. However, according to her, this development must take place within strict regulatory frameworks to maintain a high level of safety for clients.
The introduction of a licensing regime for retail crypto exchanges in June 2023 was an important step in strengthening Hong Kong’s position in the crypto industry. Now the SFC is looking to accelerate the development of this sector given the increasing competition from the United States.
