New custody requirements have been imposed on SFC-licensed virtual asset trading platforms (VATPs) in the Circular to licensed virtual asset trading platform operators on custody of virtual assets1 published by Hong Kong’s Securities and Futures Commission (SFC) on 14 August 2025.
On the same day, the SFC and Hong Kong Monetary Authority (HKMA) issued a Joint statement on stablecoin-related market movements2 warning investors about volatility in stablecoin prices that it says may be driven by speculation about plans for certain stablecoins to seek licensing under the recently implemented Stablecoins Ordinance (Cap. 615).
The following provides a summary of the custody standards now expected of SFC-licensed VATPs and the contents of the SFC/HKMA statement on market movements in stablecoins.