Hong Kong Regulators Expand Oversight to Licensed Crypto Firms

Hong Kong regulators have expanded their cooperation on financial reporting and audits to cover licensed crypto firms. The Securities and Futures Commission (SFC) and the Accounting and Financial Reporting Council (AFRC) signed a new memorandum of understanding (MoU), which extends regulatory oversight to virtual asset service providers, licensed corporations, registered open-ended fund companies, and authorized funds.

The agreement covers financial and compliance reporting by these entities, as well as related audit and assurance work. It also establishes a framework for information sharing, case referrals, mutual assistance, and coordinated inspections and investigations between the SFC and AFRC.

SFC Chair Kelvin Wong said that this expanded cooperation would provide 'more comprehensive oversight' across a broader range of entities and activities in Hong Kong's financial sector.