Insurers in Hong Kong Can Now Hold Crypto Under New Capital Rules

Simran

Hong Kong Insurance Authority allows insurers to hold cryptocurrencies under a new risk-based capital framework.

Crypto assets face a 100% risk charge, requiring insurers to fully back holdings with equal capital.

Stablecoins get peg-based risk charges depending on the fiat currency they are linked to.

Rules also encourage insurers to invest in regulated infrastructure and priority development projects.

Move positions Hong Kong as a regulated digital asset hub while protecting policyholders from risk.

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