On 20 February 2024, the Hong Kong Monetary Authority (HKMA) issued the “Guidance on Expected Standards on Provision of Custodial Services for Digital Assets by Authorized Institutions” to all authorized institutions which sets out the expected standards for storing the digital assets of authorized institutions’ clients with reference to international standards and practices. Authorized institutions are required to apply the standards of the Guidance when safeguarding digital assets, which include virtual assets, tokenised securities, or other tokenised assets.

To know more about HKMA’s move to safeguard against cybersecurity risks, please read our latest article prepared by our Managing Partner, Alan Chiu, and our Trainee Solicitor, Hank Yeung.