Hong Kong SFC Greenlights Staking Services for Licensed Crypto Platforms

Hong Kong's Securities and Futures Commission (SFC) announced on Monday it will permit licensed virtual asset trading platforms to offer staking services. This move, revealed during SFC Executive Director Christina Choi's keynote at the Hong Kong Web3 Festival 2025, aims to position Hong Kong as a leading crypto hub in the Asia-Pacific region. The new framework mandates that platforms maintain custody of staked assets while implementing specific safeguards and receiving SFC approval before offering staking services. Platforms must disclose associated risks, including slashing penalties, unstacking processes, lock-up periods, and technical vulnerabilities. This follows the SFC's February initiatives to enhance market access and expand the range of virtual assets offered. Hong Kong became the first in Asia to launch virtual asset spot ETFs for Bitcoin and Ethereum in April last year. State Street projects Hong Kong's digital asset market to exceed $700 billion this year.