Securities and Futures Commission Hong Kong: Support Mandatory Registration for CARF Implementation, Propose Simplifying Zero Reporting, and Introducing an API Automated Reporting Mechanism

BlockBeats News, January 19. The Hong Kong Securities and Futures Professional Association has submitted a consultation paper on the implementation of the Cryptocurrency Asset Reporting Framework (CARF) and CRS amendments in Hong Kong. The association supports the mandatory registration of RCASP and RFI to align with OECD standards and maintain Hong Kong's status as a financial center. It proposes a simplified or streamlined registration and reporting mechanism for "zero-reporting" entities to reduce compliance costs and recommends an administrative penalty mechanism instead of criminal liability.

Furthermore, the association supports a "dual reporting" default arrangement for CARF and CRS to reduce system complexity and reporting errors, and calls for the provision of an API reporting interface to meet the automated compliance needs of large cryptocurrency institutions.