Hong Kong Plans 100% Crypto Capital Charge for Insurers

Hong Kong’s insurance regulator is preparing a new framework that would sharply raise capital requirements for crypto assets while offering incentives for infrastructure investments, according to details circulated to the industry in early December.

The proposals form part of a broader review of the city’s risk based capital system and come as Hong Kong continues to position itself as a regulated hub for digital assets and long term regional financing.

If adopted, the changes would directly affect how insurers allocate capital to crypto, stablecoins, and large scale development projects linked to the city and mainland China.

Crypto Assets Face Full Capital Charge

Under the proposal, the Hong Kong Insurance Authority plans to apply a…

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