Crypto Tax Reporting Meets Hong Kong’s Hub Ambitions

[AIcash]

The HKSFPA called for more flexible treatment under CARF, including lighter obligations for firms with no reportable activity, stronger personal data protections and the ability to shift record-keeping duties to regulated third parties when companies shut down. It also warned that uncapped per-account penalties could create disproportionate exposure, urging the government to introduce clear limits and good-faith protections for compliant firms.

The debate comes as Hong Kong continues positioning itself as a regulated crypto hub. The city already requires licensed exchanges to meet strict KYC, AML and custody standards, with platforms such as HashKey Global, OSL and Bullish authorized to operate. At the same time, CARF is reshaping global crypto tax enforcement, with dozens of jurisdictions — including the UK and EU members — preparing to begin cross-border data exchanges as early as 2027.

[chainsniff]

supporting regulation but asking for sane penalties feels pretty reasonable tbh