Hong Kong Aims to Be World Leader in Crypto with New EU-Style Rules

Introduction

Hong Kong is making a bold move to become the global hub for over-the-counter (OTC) crypto trading by aligning its reporting standards with international norms.

New Reporting Standards

Key Changes:

• Implementation Date: September 29, 2025
• New Requirements: Use of Unique Transaction Identifiers (UTI), Unique Product Identifiers (UPI), and Critical Data Elements (CDE)
• Digital Asset Focus: Inclusion of Digital Token Identifier (DTI)

The Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) have announced these changes to harmonize with European and global practices. This will streamline data elements reported across global OTC derivatives regimes.

Streamlined Data Fields

Efficiency Measures:

• Reduced number of mandated data fields
• Adoption of ISO 20022 XML message standard for consistency in reporting

These measures aim to balance comprehensive reporting with operational efficiency, ensuring that Hong Kong remains competitive as an international financial center.

Conclusion

Hong Kong’s regulatory overhaul is a strategic move to solidify its position in the global crypto market. By adopting international standards, it aims to facilitate cross-border data sharing and maintain its status as a leading financial hub.

References

1. CryptoSlate – Hong Kong looks to become global OTC crypto center with new EU style reporting
2. HKMA Consultation Conclusion
3. Impact of MiCA Regulations on European Crypto Market