Hong Kong’s SFC Reviews Digital Asset Treasury Practices Amid Market Concerns
Hong Kong’s Securities and Futures Commission (SFC) is scrutinizing how listed companies manage digital asset treasuries (DATs) as crypto allocations grow. The regulator seeks to balance innovation with corporate governance, warning against inflated valuations tied to crypto holdings.
Exchange restrictions now prevent firms from pivoting to DATs as Core businesses. The SFC emphasizes transparency, citing risks of speculative trading and misleading disclosures. No specific regulations exist yet, but the review signals heightened oversight for Hong Kong’s evolving crypto market.