2026-01-09 00:23:29

Starting from January 1, 2026, the Hong Kong Monetary Authority will officially implement a new regulatory framework for crypto assets. This reform is based on Basel regulatory standards and formally includes crypto assets within the scope of banks' capital adequacy regulation.

The new rules categorize crypto assets into two main types. The first type is low-risk assets, including tokenized traditional assets and approved stablecoins, which have relatively lower risk weights. The second type comprises high-risk assets—mainstream coins like Bitcoin and Ethereum are included here, with risk weights soaring to 1250%.

What does this mean? According to an 8% capital adequacy requirement, if banks want to hold high-risk crypto assets like Bitcoin or Ethereum, they must prepare capital roughly on a 1:1 basis. In simple terms, investing 1 dollar in BTC or ETH requires setting aside 1 dollar of capital. The purpose of this is to strictly control banks' exposure to high-risk crypto assets, balancing the development of financial innovation with the prevention of systemic risks.

For the market, this policy signifies increasingly detailed regulation of crypto assets and sends a clear risk management signal to institutional investors and banks.

BTC-0,61%

ETH-1,11%

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VitalikFanAccount

· 01-09 00:49

1 dollar BTC needs to prepare 1 dollar capital? Hong Kong's approach is really ruthless, the banks must be crying --- Wait, stablecoins are classified as low risk? That logic has some substance, have you forgotten the story of UST --- 1250% risk weight, this number sounds outrageous, it feels like a covert way to push banks away from crypto --- So banks basically won't touch BTC and ETH anymore, this policy actually has little direct impact on retail investors --- Basel standards and capital adequacy ratio again, no matter how complex it sounds, it can't change one fact — traditional finance still fears crypto --- Recognition of stablecoins is indeed a signal, at least indicating that there isn't a full crackdown attitude --- 1:1 capital reserve requirement, how ruthless must it be to set it like this, it's basically telling banks not to come

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GateUser-c802f0e8

· 01-09 00:44

1250%？ Damn, this is a direct kill to bank holdings, sentencing BTC and ETH to death. It's good news that stablecoins are categorized as low-risk, but will banks in Hong Kong still truly go all-in on crypto? Now institutions will be more cautious about bottom fishing. A one-size-fits-all policy is always like this. By the way, moving Basel standards here—feels like it's all about table fees... Regulation is regulation, there's no middle ground. 1:1 reserve? Then banks might as well not touch it at all, since returns aren't that attractive anymore. The era of fools with lots of money is coming to an end. Next, it depends on who truly believes or if it's just hype.

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NewPumpamentals

· 01-09 00:35

1250% risk weight, is this pushing BTC and ETH to the limit? Banks need to hold 1:1 capital? Then might as well not touch it at all. Stablecoins have won again, this is policy tilt. Hong Kong's hand is played perfectly, regulating while innovating, just not letting you get too excited.

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