Hong Kong Securities Industry Group Opposes Tightening of Cryptocurrency Asset Management License Rules Odaily Planet Daily News: The Hong Kong Securities and Futures Practitioners Association (HKSSPA), a Hong Kong securities industry group, has submitted its opinions to regulatory authorities on the proposed regulatory framework for digital asset management in Hong Kong, opposing multiple tightening measures. HKSFPA mainly opposes the cancellation of the current "de minimas" arrangement. According to current regulations, institutions holding Class 9 licenses (asset management) may invest up to 10% of their total fund assets in cryptocurrency without the need to apply for an additional virtual asset management license, after reporting to regulatory authorities. The proposed plan aims to lift the proportion limit, and even if only 1% of Bitcoin is allocated, a complete virtual asset management license must be obtained. HKSFPA pointed out that the "all or nothing" regulatory approach mentioned above is not commensurate and may bring significant compliance costs in situations where risk exposure is limited, thereby inhibiting traditional asset management institutions from attempting to enter the cryptocurrency field. In addition, HKSFPA also raised objections to the proposed hosting requirements. The relevant proposal requires that virtual asset managers can only use licensed custody institutions of the China Securities Regulatory Commission (SFC) for asset custody. The association stated that this requirement is not realistic in the early stages of token investment and Web3 venture capital, and may limit local institutions in Hong Kong from conducting related businesses. Meanwhile, HKSFPA supports the direction of allowing self custody and the use of qualified overseas custody institutions when serving professional investors. The report states that the above-mentioned regulatory recommendations have entered the stage of promotion. The Hong Kong authorities have previously released a consultation summary on the relevant plan and further launched a new round of consultation on the licensing system for cryptocurrency trading, consulting, and management services. （The Block）