Analysis: Hong Kong's Virtual Asset Derivatives Market Expected to Pilot with Perpetual Contracts of Virtual Assets like Bitcoin and Ethereum

Hong Kong's Secretary for Financial Services and the Treasury, Christopher Hui, previously stated in response to a legislator's question that the Hong Kong Securities and Futures Commission is considering introducing virtual asset derivatives trading for professional investors and will formulate robust risk management measures. According to analysis cited by the China Times, based on international experience, it is expected that in the initial stage of policy implementation, Hong Kong's derivatives market will use perpetual contracts of mainstream virtual assets such as Bitcoin and Ethereum as a pilot. From international practice, several international institutions, including the Singapore Exchange (SGX), Coinbase, the U.S. Commodity Futures Trading Commission (CFTC), and the European MiFiDII regulatory framework, have prioritized perpetual contracts as an important direction for virtual asset derivatives.