SFC Circular Guidance

Definition ∞ SFC Circular Guidance refers to official directives or recommendations issued by the Securities and Futures Commission of Hong Kong. These circulars clarify regulatory expectations, outline compliance requirements, and provide interpretive assistance for virtual asset service providers and other regulated entities. They serve to inform market participants about evolving regulatory standards.
Context ∞ SFC Circular Guidance is a critical source of information for businesses operating within Hong Kong’s digital asset market, directly shaping their compliance frameworks and operational standards. News reports often analyze new circulars, highlighting their impact on licensing, investor protection, and market conduct for virtual asset trading platforms. Adherence to this guidance is essential for maintaining regulatory standing and avoiding enforcement actions in Hong Kong.