SFC Sets Stricter Exchange Custody Rules
Hong Kong’s Securities and Futures Commission (SFC) has rolled out stricter custody rules for licensed crypto exchanges to protect user assets.
Hong Kong SFC’s Crypto Custody Overhaul Targets Wallet Weakness
In a website announcement, the Hong Kong SFC revealed a new circular addressing minimum custody requirements for all licensed virtual asset trading platforms (VATPs). The document touches on a variety of topics like cold wallet management and real-time threat monitoring, and also sets out examples of good practices.
The SFC has placed these standards in response to overseas cybersecurity incidents that exposed vulnerabilities in the wallet management systems of crypto exchanges. According to a Hacken report, the industry lost…
