Author: Bitke

The Hong Kong Securities and Futures Commission (SFC) officially released the newly formulated " ASPIRe" roadmap is undoubtedly the "highlight" during this year's consensus conference. The roadmap elaborates on the regulatory plan of Hong Kong's virtual asset market, aiming to promote Hong Kong to become the world's leading virtual asset center through five core pillars. Bitkoala Koala Finance This roadmap will be interpreted in detail in this article.

The five pillars of the "ASPIRe" roadmap are: Access, Safeguards, Products, Infrastructure and Contact (Relationships).

Connection (Access)

In the context of the growing prosperity of the global virtual asset market, Hong Kong is actively seeking to build itself into an international digital asset hub. As the market size exceeds US$3 trillion in 2024, global liquidity will be significantly dispersed, with different regulations in various countries forming a diverse and complex ecosystem. The first pillar "Access" is Established to solve this problem, its core goal is to open up a connection channel between Hong Kong and the international market by simplifying market access, optimizing the licensing framework and attracting global participation.

The core goals of "Access" are as follows:

1. Simplify market access

Clear licensing system: SFC aims to establish a clear and transparent licensing framework covering virtual asset trading platforms (VATPs) and over-the-counter trading (OTC) and hosting services, etc. Through the principle of "same industry, same risks, same rules", reduce the uncertainty faced by market participants when entering the Hong Kong market.

Reduce administrative threshold: On the premise of ensuring regulatory requirements, try to simplify the application process so that compliant companies can enter quickly and avoid missed due to cumbersome procedures. Market opportunities.

2. Attract global platforms and liquidity

International Standards Docking: through communication and coordination with international regulatory agencies, ensure that Hong Kong's licensing and regulatory standards are consistent with the global mainstream market, thereby attracting leading foreign platforms to expand their business to Hong Kong .

Introduce global order flow: When global platforms and institutional investors can operate in a well-defined environment, Hong Kong can attract cross-border order flows and institutional liquidity to improve the liquidity and price discovery efficiency of the local market.

3. Expand the channels for investor participation

Diversified market entities: In addition to the existing ones As a licensed trading platform, SFC hopes to attract more types of participants (such as OTC traders, custodians, liquidity providers, etc.) to enter the market through Access measures, forming a more diversified virtual asset ecosystem.

Promote cross-border capital flows: connecting global markets not only helps introduce foreign capital, but also provides local investors with more international investment options, thereby promoting the market maturity and stable development.

IV. Establishment of licenses and standards

Develop unified access standards: for different types virtual asset service providers (such as trading platforms, OTC dealers, custodians, etc.) formulate targeted and differentiated access requirements to ensure market security without inhibiting innovation.

Strengthen the principle of "same risk and same rules for peers": Ensure that all participants entering the market, regardless of their business model, follow unified regulatory requirements and compete for the market Create a fair environment.

5. Attract international platforms to settle in

Optimize the entry process of foreign capital: simplify registration and application Procedures and provide clear guidance to reduce the time and cost of foreign-invested enterprises entering the Hong Kong market.

Establish a global cooperation mechanism: carry out regulatory dialogue and cooperation with other major financial centers (such as Singapore, the EU, etc.), promote cross-border regulatory coordination, and prevent regulatory arbitrage , thereby attracting more international participants.

6. Promote market diversification

Expanding market coverage: In addition to traditional licensed trading platforms, new businesses such as OTC and custodial services are encouraged to enter the regulatory perspective to increase market level and service diversity.

Improving market transparency: Through information disclosure and data sharing mechanisms, ensure that all market participants can obtain fully transparent market information and reduce the risks brought about by information asymmetry.

So, what are the expected effects? In fact, by establishing a clear, inclusive and internationally qualified market access mechanism, Hong Kong will be able to attract more global leading virtual asset platforms to settle in, further consolidate its role The status of regional and global virtual asset hubs. Attracting international order flow and institutional funds will greatly improve local market liquidity, promote the optimization of price discovery mechanisms, and provide investors with more diversified and efficient trading opportunities.

Through international regulatory standards and cross-border cooperation mechanisms, Hong Kong can not only introduce foreign investment, but also provide local investors with a broader international market perspective and help the long-term development of the market. . Clear and clear licensing processes and regulatory requirements will help lower the threshold for emerging companies and international platforms to enter the Hong Kong market, stimulate market vitality, and promote continuous innovation in technology and business models.

Safeguards

In recent years, the global virtual asset market has experienced many risk events that shocked the market (such as the collapse of the FTX exchange and the stability of the Terra Deansing the currency, etc.), exposing the problems of lack of supervision and insufficient risk control. As an international financial center, Hong Kong has always been committed to promoting innovation while ensuring market security and investors' interests. The pillar of "Safeguards" is In this context, it is proposed that the core lies in reducing the compliance burden while ensuring system security through risk proportional supervision and technologically neutral regulatory measures, and building a solid protection network for all market participants.

The core goals of "Safeguards" are as follows:

1. Ensure market security and investor protection

Ensure the trading platform by establishing unified and flexible regulatory requirements, Custody agencies and other virtual asset service providers can effectively prevent risks such as fraud and market manipulation during their operations.

Strengthen investorsProtective measures to reduce the risk of capital losses caused by regulatory loopholes or insufficient internal risk control.

2. Implement risk rationing supervision

Based on the risk attributes of virtual asset products or services , implement differentiated regulatory strategies to ensure that high-risk businesses accept stricter monitoring, while low-risk businesses enjoy moderately loose compliance requirements.

Result-oriented, avoiding overly rigid rules, and pushing the market to strike a balance between security and innovation.

3. Promote the integration of technology and supervision

Encourage the adoption of technology-neutral regulatory standards, Promote the industry to adopt advanced technological means in asset custody, fund isolation, real-time monitoring, etc. to improve regulatory transparency and efficiency.

IV. Risk rationing regulatory framework

Classified supervision: based on the types of virtual assets and business Different regulatory standards are formulated for trading platforms, custody services, etc. in terms of model and risk level.

Flexible adjustment: Regulators will regularly evaluate market risks and adjust regulatory measures in a timely manner to ensure that innovation is not overly restricted, but also prevent and control systemic risks.

5. Technology-neutral custody and fund isolation requirements

Guarantee standards: promote the formulation of The result-oriented custody requirements ensure that user funds are strictly isolated from the platform's own assets.

Technical innovation support: Encourage platforms to innovate in the use of cold/hot wallet combination storage, real-time monitoring and independent auditing, so as to ensure asset security while improving operational efficiency .

6. Market monitoring and risk warning mechanism

Data-driven monitoring: Deploy blockchain Analytical and big data tools to monitor on-chain transactions in real time and quickly discover abnormal trading behaviors and potential risks.

Cross-organization cooperation: Strengthen information sharing and collaboration with other regulatory agencies and law enforcement departments, form a cross-border regulatory linkage mechanism, and jointly crack down on market manipulation and washingIllegal acts such as money.

7. Construction of insurance and compensation mechanism

Risk transfer tools: Explore the establishment of virtual asset compensation Funds or insurance mechanisms provide compensation for investors' losses caused by sudden risks such as accidents and hackers.

Serious punishment for violations or internal management errors, strengthen the sense of responsibility of the platform and practitioners, and improve the security of the overall market.

Under the "guarantee" pillar, through comprehensive and flexible safety supervision measures, investors will gain higher confidence, thereby attracting more institutions and retail investors to participate. . In the competition in the global virtual asset market, having a complete guarantee system will make Hong Kong more attractive, help Hong Kong become an international virtual asset center, promote technological innovation in asset custody, risk monitoring and other aspects in the fields of blockchain and financial technology, and achieve The organic integration of traditional financial protection and digital asset security.

However, although risk rationing supervision can reduce the compliance burden of some enterprises, full implementation still requires a lot of resource investment and technical support. Too strict supervision may curb market innovation. How to ensure safety without stifling the momentum of innovation is an issue that regulatory authorities need to continue to explore. The virtual asset market has a highly globalized nature. Regulatory differences in different jurisdictions may lead to regulatory arbitrage and cross-border risks, requiring international cooperation and coordination.

Products

Products

With the continuous maturity of the global virtual asset market and the diversification of investor demand, the Hong Kong virtual asset market is facing the problems of single products and insufficient innovation. The existing regulatory framework mainly covers basic services such as virtual asset trading platforms (VATPs), but there are still large gaps in the listing of new currency, derivative trading, pledge, and lending. In order to meet the needs of different investors (including institutions and retail investors) and at the same time promote the market to develop towards a multi-level and professional direction, the Hong Kong Securities Regulatory Commission has proposed the "Products" pillar in the "ASPIRe" blueprint. Its core goal is to broaden product lines and promote the emergence of new investment tools and financial services, thereby achieving a dual balance between regulation and innovation.

The core goals of "Products" are as follows:

1. Expand investment choices and meet diversified needs

Provide risk matching products and services for investors with different risk preferences and investment experience. .

Introduce more complex products for professional investors, such as new currency issuance, derivatives trading, guaranteed financial instruments, etc.

2. Promote product innovation and diversification

Encourage financial technology innovation and use traditional financial products (such as ETFs, bonds, Securities, etc.) combine with blockchain technology to promote the "tokenization" of products.

Break the restrictions on existing products, explore new business models such as pledge, lending and derivatives trading, and innovate product functions under the framework of strict risk management.

3. Establish clear product classification and regulatory standards

Use the "perspective" product classification framework, determine regulatory standards based on actual business and risk attributes to avoid regulatory gaps. < /p>

Set appropriate thresholds and compliance requirements for new products, which not only protects investors' interests but also prevents market vitality.

IV. Exclusive products and derivatives trading for professional investors

Singlecoin listing: Explore the listing of the new coin designed for professional investors in a regulated environment, ensuring that the project undergoes rigorous due diligence and information disclosure.

Derivative Trading: Research on the introduction of virtual asset derivative trading mechanisms, providing trading functions such as hedging and leverage, so that institutional investors can manage risks more effectively and improve market liquidity.

5. Risk adaptive guaranteed financial funds and leverage services

Develop guaranteed financial funds requirements similar to those of the traditional securities market , including initial margin, variable margin and volatility adjustment, to ensure that the market has effective risk control measures when introducing leveraged trading.

Promote regulatory authorities to cooperate with market participants to develop risk management suitable for the virtual asset fieldspecification.

VI. Explore pledge, lending and other innovative financial services

Share services: Allowed On the premise of ensuring the security of fund custody, the regulatory platform provides digital asset pledge services to give investors profit opportunities.

Lending and Lending Business: Explore the launch of lending services under strict operation and risk management rules to balance returns and risks, and provide more financing channels for the market.

7. Establish a "perspective" product classification framework

Clear the various virtual asset products Regulatory attributes are classified based on actual business models and risk characteristics to ensure that regulatory measures are implemented accurately.

Through classification standards, regulators, market participants and investors can reach consensus on product risk identification and prevention and control, and reduce regulatory blind spots.

Expanding product lines will enrich the investment tools in the Hong Kong market, meet the investment needs of institutions and retail investors at different levels, and further enhance market activity and liquidity. Diversified products and services can attract global high-quality projects and international institutions to enter, consolidating Hong Kong's position as a regional virtual asset center. By clarifying product classification and setting professional regulatory standards, it will help reduce investor risks and promote healthy and sustainable market development.

Of course, the introduction of new products and derivative businesses can easily bring higher risks. How to ensure strict risk control while stimulating market innovation is a continuous need for regulatory authorities. Questions of concern. Launching diversified products may increase the compliance burden of platforms and institutions. How to reduce unnecessary costs while ensuring regulatory effectiveness will test the wisdom of the makers. The launch of complex products requires investors to have high risk identification capabilities, so investor education must be strengthened simultaneously to ensure that all parties in the market have a full understanding of product characteristics and risks.

Infrastructure

Infrastructure

In the context of the rapid development of the virtual asset market, regulators are facing huge challenges in how to grasp market dynamics in real time, prevent risks, and combat cross-border violations. Traditional regulatory models often rely on post-event investigations, while the decentralization, cross-border and anonymity of virtual asset transactions make regulationThe difficulty is further increased. To this end, the Hong Kong Securities Regulatory Commission (SFC) proposed the pillar of "Infrastructure" in the "ASPIRe" regulatory blueprint. Its core lies in using advanced technical means and cross-institutional collaboration to build a real-time, accurate and intelligent regulatory system. To improve regulatory efficiency and market transparency.

The core goals of "Infrastructure" are as follows:

1. Improve regulatory technical capabilities

Use modern information technology and data analysis tools to realize real-time monitoring and early warning of market activities.

Establish a direct regulatory reporting system to ensure that regulators can obtain complete and accurate market data in a timely manner.

2. Build a cross-institutional collaboration mechanism

Strengthen local regulatory agencies, law enforcement departments and international Information sharing and coordination among regulatory agencies will be shared and coordinated to form a regulatory network that jointly combats illegal activities.

Promote cross-border regulatory cooperation and respond to the global characteristics and cross-border risks of the virtual asset market.

3. Implement intelligent risk warning and data-driven decision-making

Deploy blockchain monitoring Tools and big data analysis systems to promptly capture potential risk signals such as abnormal transactions and abnormal capital flows.

Use advanced monitoring technology to improve the scientificity and foresight of regulatory decision-making, and achieve "pre-warning, in-process disposal, and post-responsibility".

IV. Establish a direct supervision and reporting system

Real-time data collection: Promote virtual asset services Providers (VASPs) adopt standardized and electronic data reporting systems to realize automatic reporting and rapid integration of information.

Transparent information disclosure: Strengthen the collation and disclosure of market data, improve market transparency, and facilitate regulatory departments and investors to understand market trends in real time.

5. Deploy advanced supervisorsControl and early warning tools

Blockchain and big data analysis: use blockchain technology to monitor on-chain transactions in real time, and identify abnormal transactions through big data analysis technology Patterns and potential violations.

Intelligent early warning system: Establish an early warning system based on machine learning and artificial intelligence algorithms, automatically detect market abnormalities, and promptly issue risk warnings and disposal suggestions.

VI. Strengthen cross-institutional and cross-border collaboration

Local collaboration: with other finance in Hong Kong Regulatory agencies and law enforcement departments realize data interconnection and form a comprehensive risk prevention and control network.

International cooperation: actively participate in international regulatory organizations and transnational regulatory alliances, promote the formulation of global unified or mutually recognized regulatory standards, and prevent the spread of regulatory arbitrage and cross-border risks.

7. Build a dynamic data analysis platform

Data integration platform: build an integrated variety of A dynamic data platform for market data, regulatory reports and risk indicators for real-time inquiries and decision-making references by regulatory authorities.

Trend and predictive analysis: Use historical data and real-time data to conduct trend analysis and risk prediction to help regulatory authorities formulate response measures in advance.

Modern information systems and intelligent early warning tools will significantly shorten the time from risk detection to emergency response, reduce the impact of market volatility on investors, real-time data sharing and Public information disclosure helps to build a transparent and fair market environment and improve investor confidence. Cross-institutional and cross-border collaboration mechanisms will help form a unified global regulatory landscape and enhance Hong Kong's voice and influence in global virtual asset supervision.

However, there may be differences in the information systems and data formats of different market participants, and how to unify standards and interfaces is a key issue. In the process of information sharing and data integration, regulatory needs must be balanced with data privacy protection to ensure that sensitive information is not abused. Collaboration between different regulatory agencies and international organizations involves many legal, and operational issues, and requires the establishment of an effective communication mechanism and coordination platform.

Although there are certain challenges in unification of technical standards, data security, and cross-border collaboration, as regulatory technology continues to advanceWith the deepening of international cooperation, the "infrastructure" pillar is expected to build a forward-looking and intelligent virtual asset supervision system for Hong Kong, further consolidating its position as a global digital economy transformation hub.

Relationships

The virtual asset market is highly dynamic and global, Not only are the technology changing with each passing day, but market participants are also showing diversified development. At the same time, the importance of investor education, market information transparency and communication and coordination among all parties is becoming increasingly prominent. In traditional financial markets, regulators often make timely adjustments by maintaining close interaction with market entities. In the field of virtual assets, investors are easily misled due to information asymmetry and regulatory gaps, and market risks increase. To this end, the Hong Kong Securities Regulatory Commission (SFC) has proposed the "Relationships" pillar in the "ASPIRe" regulatory blueprint. Its core lies in the construction of a multi-level and comprehensive communication and collaboration mechanism to bridge the supervision, market and investors. The information gap between market participants will promote all parties to jointly build a healthy, transparent and sustainable virtual asset ecosystem.

The core goals of "Relationships" are as follows:

1. Strengthen investor education and information transparency

The goal is to improve the public's awareness of the characteristics, risks and supervision of virtual assets, and help investors make smarter decisions.

Reduce investment risks caused by information asymmetry through systematic education plans and information disclosure.

2. Promote interaction between regulators and market entities

Build sound communication The platform ensures that supervision can promptly reflect market feedback while allowing market participants to understand and comply with regulatory requirements.

Through regular seminars, seminars and consulting groups (such as the VACP of the Virtual Assets Advisory Group), strengthen regulatory agencies, exchanges, custodians, and financial service providers. communication between.

3. Guide the responsible behavior of financial opinion leaders

Targeting emerging social media communication channels , formulate corresponding regulatory and industry self-discipline standardsAccurately, guide financial opinion leaders to convey real and objective information, and prevent the spread of false propaganda and misleading information.

IV. Promote cross-border talent training and continuous learning

Establish continuous training and talents Cultivate mechanisms to improve the professional qualities of practitioners, investors and other relevant personnel in the virtual asset industry, and promote the continuous update and sharing of supervision and industry knowledge.

5. Systematic Investor Education Plan

Popularization of basic knowledge: formulate targeted retail investors and The educational courses for institutional investors cover blockchain technology, virtual asset risks, market operations and regulatory rules.

Multi-channel communication: leverage online platforms, seminars, public lectures and media collaboration to ensure that educational information can reach a wider audience.

Risk warnings and Investor Guide: Regularly publish risk warnings and Investor Guides to help investors identify market risks and prevent fraud and misleading information.

VI. Establish and improve communication platform and consulting mechanism

Virtual Asset Consulting Group (VACP) : Organize industry seminars regularly and invite trading platforms, custodians, technology suppliers and scholars to discuss the current regulatory situation and future development directions.

Online interactive platform: build an official interactive platform to collect market feedback and questions in a timely manner, and convey regulatory information and explanations to the market through announcements, questions and answers.

Cross-institutional dialogue mechanism: Strengthen regular dialogue between SFC and other local financial regulatory agencies and law enforcement departments, and form a working pattern of information sharing and joint risk prevention.

7. Regulate the behavior of financial opinion leaders

Develop a responsibility framework: targeting social media and Financial opinion leaders who publish information on other digital platforms clarify the authenticity and transparency requirements of their published content.

Advocate industry self-discipline: encourage the establishment of self-disciplined organizations in the industry, formulate codes of conduct, and promote financial opinion leaders to follow the principle of integrity, avoid hype and misleading investors.

8. Promote cooperation in talent training and industry

Cross-border training projects: with universities, research institutions and industries The association cooperates to carry out special training and certification of virtual assets and blockchain technology to improve the overall industry level.

Knowledge Sharing and Case Exchange: Establish a virtual asset supervision and practical case library, regularly share successful experiences and lessons learned by failure, and help all parties in the market continue to learn and improve.

The Relationships pillar plays a crucial role in the ASPIRe regulatory blueprint. Through systematic investor education, a sound communication platform, standardizing financial opinion leaders' behavior and cross-border talent training, the Hong Kong Securities Regulatory Commission is committed to building a transparent, interactive and win-win virtual asset ecosystem. This move will not only enhance market transparency and investor confidence, but will also promote a closer cooperation mechanism between regulators and market entities, thereby laying a solid foundation for the healthy, stable and sustainable development of Hong Kong's virtual asset market. Although there are challenges such as information asymmetry, cross-institutional coordination and new media supervision during the implementation process, as long as all parties work together, Hong Kong is expected to set a good example of communication and cooperation in the global virtual asset market in the future and become a transformation of the global digital economy. an important fulcrum of the

Conclusion

The "ASPIRe" regulatory blueprint launched by the Hong Kong Securities Regulatory Commission is in the virtual asset market Against the backdrop of rapid evolution, it not only protects investors' rights and market security, but also promotes innovation and global connectivity. Through the five pillars of "connection", "guarantee", "product", "infrastructure" and "connection", SFC not only provides market participants with clear rules and paths, but also drives technology and collaboration to actively respond to global market competition and cross-border regulatory challenges.

In the future, with the continuous improvement of regulatory mechanisms, continuous innovation of products and technologies, and increasingly close communication between all parties, Hong Kong is expected to become the most transparent and trustworthy world. The virtual asset hub provides solid support for the transformation of the global digital economy.