Hong Kong Securities and Futures Commission plans to introduce a regulatory framework for perpetual contracts, limited to institutional investors only

ZkProver · 2026-02-12T06:32:53+00:00

Hong Kong Securities and Futures Commission CEO Julia Leung announced at the Consensus Hong Kong conference that a framework will be released to allow licensed trading platforms to offer perpetual contract products, initially targeting only institutional investors. The framework will focus on risk management, combining financing services and market-making activities, aiming to promote the development of the local crypto market.

ZkProver

2026-02-12 06:32:53

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ChainCatcher News, Hong Kong Securities and Futures Commission (SFC) CEO Julia Leung stated at the Consensus Hong Kong conference that regulators will release a “high-level framework” allowing licensed trading platforms to offer perpetual contract products. Leung pointed out that these products will initially be available only to institutional investors and not to retail clients.

The relevant framework will focus on risk management, requiring platforms to have robust risk control capabilities and ensuring that trading mechanisms are fair to clients. Additionally, the Hong Kong SFC will permit brokerages to provide financing services to clients with good credit standing, with collateral including securities and virtual assets. Given the high volatility of virtual assets, only Bitcoin (BTC) and Ethereum (ETH) will be eligible as collateral in the initial phase.

Regarding market-making activities, platforms offering such services must establish an independent market-making department and implement strict conflict of interest management mechanisms. Leung stated that these measures continue the SFC’s 2025 roadmap to develop the local crypto market, aiming to enable compliant institutions to offer more diverse products and services.

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