The Hong Kong Securities and Futures Institute (HKSI) recently engaged in discussions with the Securities and Futures Commission (SFC) to address the regulatory landscape for virtual assets. The meeting focused on compliance standards, oversight of over-the-counter (OTC) trading, and the development of tokenized securities and derivatives. Key topics included the streamlining of asset transfers, defining the roles of market makers, and refining corporate upgrade frameworks to better accommodate digital asset innovations.