The Securities and Futures Commission (SFC) in Hong Kong is taking a proactive approach by developing regulations for corporate crypto holdings as public companies increasingly integrate digital assets into their financial strategies. This move comes in response to growing interest in digital asset treasuries (DAT), where companies hold cryptocurrencies like Bitcoin as part of their reserves, similar to traditional assets. The SFC recognizes the potential benefits and risks associated with these emerging practices, aiming to ensure stability for both market participants and investors. The absence of specific regulations currently creates uncertainty regarding best practices and investor risk assessment, prompting the SFC’s proactive approach.