Hong Kong's Securities and Futures Commission (SFC) published guidance Monday permitting licensed virtual asset trading platforms to offer staking services, following its efforts to establish the city as a hub for crypto and virtual assets in the Asia-Pacific region.
The announcement came during SFC Executive Director Christina Choi's keynote speech at the Hong Kong Web3 Festival 2025, during which she framed how virtual assets could spur innovation in finance.
Choi, who leads the SFC's Investments Products Division, recounted how her son mistook a floppy disk for a "3D-printed save button." While the illustration appears to be reused, Choi's statements were meant to reflect on "how fast technology races forward."

Hong Kong Official Vows to 'Severely Reprimand' Meme Coin Scammers
Crypto scammers today impersonated a Hong Kong official on X, formerly Twitter, and pumped and dumped a fraudulent meme coin that they pushed as an "official" Hong Kong token called "KONG." An account on X masquerading as Chief Executive John Lee claimed that the "National Hong Kong Coin" was going to make its debut on Solana. The now-deleted post said the supposed Hong Kong token marked "a new era in digital innovation and economic growth," and would "transform the future of finance." On Facebo...
The new framework for staking—a process where investors lock virtual assets to support blockchain networks and earn rewards—requires platforms to maintain custody of staked assets while implementing specific safeguards.
Licensed platforms need to receive SFC approval before offering staking services, and "maintain possession or control of all mediums" for withdrawal mechanisms, the circular reads.
Per the framework's requirements, associated risks, including slashing penalties, unstacking processes (and durations), lock-up periods, and technical vulnerabilities due to "hacking risk and inactivity," also need to be disclosed.
These developments follow the regulator's initiatives from earlier in February this year, when it outlined a roadmap to enhance market access, tighten regulatory safeguards, and expand the range of virtual assets that could be offered within its jurisdiction.

Hong Kong Regulator Unveils Roadmap to Strengthen Virtual Asset Ecosystem
Hong Kong’s Securities and Futures Commission (SFC) has launched a comprehensive roadmap outlining strategic initiatives designed to strengthen the city’s position as a leading global hub for virtual assets. The SFC's “ASPIRe” roadmap introduces a five-pillar framework—Access, Safeguards, Products, Infrastructure, and Relationships—each targeting key aspects of the digital asset ecosystem, as per the SFC's Wednesday announcement. The 12-initiative roadmap is crafted to foster growth by enhancing...
Hong Kong has built significant momentum in regulated digital assets since becoming the first jurisdiction in Asia to launch virtual asset spot ETFs for Bitcoin and Ethereum in April last year.
A study from financial services and investment firm State Street projects that Hong Kong's digital asset market, as part of China's growing ETF market, would exceed $700 billion within the year and overtake Japan by size.
"Just as the floppy disk transformed how we stored information long before Web 1.0 took hold, blockchain technology has the potential to rewrite the rules of finance and beyond," Choi said.
Edited by Sebastian Sinclair