AI investment platforms and paid online influencers could face closer scrutiny.

Banks, cryptocurrency firms, and asset managers in Hong Kong could be forced to suspend virtual-asset (VA) services if they fail to obtain licences before proposed regulations take effect, lawyers said.

“Licensed VA custodians will face demanding requirements in relation to matters such as private key management, cybersecurity, and governance,” Emily Rumble, a senior lawyer at Gibson, Dunn & Crutcher LLP, said in an emailed reply to questions.

Existing operators would not automatically be exempt from the proposed rules or be allowed to continue affected services whilst their licence applications are being reviewed, she pointed out.

Hong Kong’s government…