The Hong Kong Securities Regulatory Commission issued a notice stating that for public fund products with virtual assets accounting for more than 10%, their management companies, related investment strategies, and product custody institutions must meet corresponding conditions. According to current regulations, generally speaking, institutions holding a No. 9 license from the Hong Kong Securities Regulatory Commission must not account for more than 10% of virtual assets in their fund portfolios. The latest notice clarifies that if the proportion of virtual assets exceeds (or is expected to exceed) 10%, the management agency must apply to the Hong Kong Securities and Futures Commission and obtain approval from the Hong Kong Securities and Futures Commission before relevant products can be sold to Hong Kong investors. The notice clearly states that, first of all, companies that manage virtual asset funds (virtual assets account for more than 10% of the fund) must have a good compliance record, and at least one employee of the company must have experience in managing virtual assets or related products. Management companies must meet existing or new requirements for virtual asset management companies by licensing regulators. In terms of investment targets, virtual asset funds can only invest in virtual assets traded on licensed virtual asset trading platforms in Hong Kong. If you invest in futures, you must invest in futures contracts traded on exchanges and trading platforms recognized by the Hong Kong Securities Regulatory Commission.