Crypto may enter insurers’ portfolios as Hong Kong reviews capital rules

cointelegraphPublicado em 2025-12-22Última atualização em 2025-12-22

Resumo

The Hong Kong Insurance Authority is proposing to allow insurance companies to allocate capital to cryptocurrencies and infrastructure projects. Under the proposal, crypto investments would be subject to a 100% risk charge, requiring insurers to hold regulatory capital equal to the full value of their crypto holdings. The move is part of a broader review of the risk-based capital regime to support the industry and economic development. This follows a global trend, as the EU has proposed similar capital rules, and insurers like MassMutual and Allianz have already made crypto investments. Hong Kong has been actively developing its crypto regulatory framework, including stablecoin rules and a fintech strategy focused on tokenization, despite mainland China's continued restrictions on crypto activities.

The Hong Kong Insurance Authority is reportedly proposing to allow insurance capital allocation to cryptocurrencies and infrastructure projects.

Bloomberg reported on Monday that the city’s regulator started reviewing the risk-based capital regime to support the insurance industry and economic development.

Crypto allocations would be subject to a 100% risk charge, meaning that the insurer would need regulatory capital roughly equal to the full value of its crypto position.

The proposal would also allow infrastructure investment at a time when Hong Kong faces a budget deficit. Some companies that submitted feedback reportedly urged that coverage be extended broadly, noting that the current proposal has significant limitations.

A spokesperson reportedly explained that the institution is now gauging industry feedback and will initiate public consultation later.

The Hong Kong Insurance Authority did not respond to Cointelegraph’s media inquiry.

Hong Kong Insurance Authority headquarters. Source: Ceeseven, CC BY-SA 4.0

Related: China Merchants Bank tokenizes $3.8B fund on BNB Chain in Hong Kong

Insurance investment in crypto moves out of the fringe

Insurance companies investing in cryptocurrencies is increasingly becoming more popular. In March, the European Union’s insurance authority proposed a blanket rule that would require insurance companies to maintain capital equal to the value of their crypto holdings, similar to the reported Hong Kong rule.

Some insurance companies are also using cryptocurrency to achieve their goals.

In March, Barbados-based insurer Tabit raised $40 million in Bitcoin (BTC) to bolster its balance sheet and back traditional insurance policies.

Germany’s largest insurance company Allianz invested in a convertible note offering by leading Bitcoin treasury company Strategy in November last year.

Still, the earliest players moved much sooner.

At the end of 2020, Massachusetts-based insurance firm MassMutual purchased $100 million in Bitcoin for its general investment account. At the time, this was about 5,470 BTC for $18,279 per coin.

At the current price of over $89,000, that would be worth over $488 million.

Related: Hong Kong rules limit stablecoin derivatives trading: DBS CEO

Hong Kong takes crypto seriously

Hong Kong has been paying particular attention to the cryptocurrency industry recently. In November, the Hong Kong Monetary Authority (HKMA) unveiled its Fintech 2030 strategy. It includes real-world assets and tokenization, a rising crypto trend that is drawing global institutional interest.

Hong Kong started enforcing its stablecoin rules in August, reportedly drawing applicants from mainland China banks.

However, Beijing has not warmed up to crypto-related initiatives. Key activities related to crypto, such as mining and trading, are prohibited on the mainland.

In August, Chinese regulators reportedly told local firms to stop publishing research or holding seminars related to stablecoins. In September, a since-removed report by finance outlet Caixin claimed mainland Chinese firms operating in Hong Kong may be forced to withdraw from cryptocurrency-related activities.

Magazine: Sei wallets in Xiaomi, Bhutan’s gold on Solana: Asia Express

Perguntas relacionadas

QWhat is the Hong Kong Insurance Authority proposing regarding insurance capital allocation?

AThe Hong Kong Insurance Authority is proposing to allow insurance capital allocation to cryptocurrencies and infrastructure projects.

QWhat risk charge would crypto allocations be subject to under the proposed rules?

ACrypto allocations would be subject to a 100% risk charge, meaning insurers would need regulatory capital roughly equal to the full value of their crypto position.

QWhich other region has proposed a similar capital requirement for insurance companies' crypto holdings?

AThe European Union's insurance authority proposed a similar blanket rule in March that would require insurance companies to maintain capital equal to the value of their crypto holdings.

QWhat significant Bitcoin investment did MassMutual make in 2020 and what would it be worth today?

AIn 2020, MassMutual purchased $100 million in Bitcoin (about 5,470 BTC at $18,279 per coin). At current prices over $89,000, that would be worth over $488 million.

QHow does Beijing's stance on cryptocurrency differ from Hong Kong's approach?

ABeijing has not warmed up to crypto-related initiatives and prohibits key activities like mining and trading on the mainland, while Hong Kong has been paying particular attention to the cryptocurrency industry with various regulatory developments.

Leituras Relacionadas

BIP-110 Controversy Intensifies: Bitcoin May Face Its Most Divisive Hard Fork Battle in Years

Bitcoin is approaching a critical block height of 961,632, which could activate the controversial BIP-110 proposal. This proposal aims to restrict the amount of non-financial data, such as inscriptions and other large data payloads, within Bitcoin transactions. Supporters, including some node operators and Bitcoin purists, argue that BIP-110 is necessary to preserve Bitcoin's core function as a monetary settlement layer by reducing network congestion and node operational burdens caused by non-essential data. They frame it as a correction to keep the network true to its original purpose. However, critics, including prominent figures like Blockstream's Adam Back and developer Jameson Lopp, warn that the proposal's implementation mechanism is dangerously flawed. They highlight that its low 55% miner signaling threshold, coupled with a contentious enforcement mechanism allowing nodes to unilaterally reject non-compliant blocks, significantly increases the risk of a chain split. Opponents argue this sets a dangerous precedent for transaction censorship, undermines Bitcoin's protocol neutrality, and creates excessive uncertainty for developers and businesses, especially since the rule is proposed as a temporary one-year measure. Market analysts, such as those from Bitfinex, suggest a full-scale network split is unlikely due to a lack of broad economic consensus. Major mining pools remain neutral, and adoption of the new rules is minimal. They view the situation more as a governance stress test. The primary risk is operational disruption: if a minority chain persists, major exchanges and custodians may need to temporarily suspend Bitcoin deposits and withdrawals to manage security and liquidity, potentially unsettling newer institutional investors. While BIP-110 is not expected to succeed in overtaking the main chain, its approach has ignited a significant debate about Bitcoin's governance, core values, and resilience.

Foresight NewsHá 3m

BIP-110 Controversy Intensifies: Bitcoin May Face Its Most Divisive Hard Fork Battle in Years

Foresight NewsHá 3m

NEAR to Airdrop 330,000 Tokens, Betting on TVL Reaching $70 Million

On June 11th, NEAR Protocol launched the Near@3.33 Milestone Incentive Program, targeting users of its Confidential Intents privacy cross-chain execution feature. The program will distribute 333,333 milestone tokens when the Confidential Intents Total Value Locked (TVL) reaches $70 million. Users must have conducted Confidential transactions on near.com and maintain a Confidential balance above $100 in any asset to qualify, with a single wallet capped at 2% of the current airdrop pool. The milestone tokens will be locked upon receipt and cannot be sold or transferred. They can only be converted 1:1 to NEAR tokens once NEAR's Volume Weighted Average Price (VWAP) maintains $3.33 or higher for three consecutive trading days. As of the report, Confidential Intents TVL exceeds $20.69 million, needing roughly a 3x increase to trigger the airdrop. Confidential Intents, launched in February 2026, is NEAR's privacy execution layer designed to prevent MEV, front-running, and strategy leaks by building confidentiality directly into the execution environment. Its TVL has grown from zero to approximately $15 million in about three months. NEAR token price, which surged from around $1 in April to a peak of $3.08, currently trades near $2. The program aims to boost user activity for Confidential Intents, with future incentive rounds planned as community engagement increases.

Foresight NewsHá 1h

NEAR to Airdrop 330,000 Tokens, Betting on TVL Reaching $70 Million

Foresight NewsHá 1h

Crypto Market Makers Are Collectively Seeking Change as Money Becomes Harder to Earn

**Summary: Crypto Market Makers Adapt as Margins Shrink** Leading crypto market maker GSR exemplifies a broader industry shift, moving beyond traditional market-making to become a full-service "Web3 investment bank." Its recent strategic acquisitions—including an SEC-registered broker-dealer, rebranded as GSR Securities—and purchases of token advisory firms aim to create an integrated platform covering token design, fundraising, listing, liquidity provision, and asset management. This includes launching an ETF and investing in tokenization platforms like Libeara, backed by a strategic investment from Standard Chartered's SC Ventures. This transformation is not unique to GSR. Other major players like Keyrock, B2C2, Wintermute, and DWF Labs are also expanding geographically, pursuing regulatory licenses (especially under frameworks like MiCA in the EU), and diversifying into over-the-counter (OTC) trading, asset management, and real-world asset tokenization. The driving force behind this collective pivot is a rapidly changing market. Profits from traditional altcoin market-making are declining due to fewer viable projects, reduced client budgets, increased competition, and smarter, more demanding clients. Simultaneously, regulatory pressures are mounting, making compliance a baseline cost. Extreme market events further expose teams lacking robust risk controls. Consequently, the crypto market-making business model is evolving from one reliant on information asymmetry and volatility to a more institutionalized, regulated, and service-diverse industry. Survival now depends on building systemic capabilities beyond mere liquidity provision.

marsbitHá 1h

Crypto Market Makers Are Collectively Seeking Change as Money Becomes Harder to Earn

marsbitHá 1h

Crypto Market Makers Collectively Seek Transformation as Money Becomes Increasingly Difficult to Earn

Major crypto market makers like GSR are collectively pivoting as profitability declines in their traditional business. GSR has pursued an aggressive "Web3 investment bank" strategy through acquisitions and partnerships, including buying a US SEC-registered broker-dealer, acquiring token advisory firms, launching an ETF, and securing strategic investment from Standard Chartered's SC Ventures. This transformation aims to integrate fragmented services—token design, fundraising, listing, liquidity provision, and asset management—into a unified platform. Other leading market makers, such as Keyrock, B2C2, Wintermute, and DWF Labs, are following a similar path: strengthening regulatory compliance, expanding into institutional OTC services, and diversifying into areas like asset management, tokenized assets, and complex financial products. Key drivers for this shift include shrinking project budgets, increased competition for fewer viable tokens, and smarter, more demanding clients. Regulatory pressures (e.g., MiCA in the EU) and market volatility are raising the stakes, forcing firms to build systemic risk controls. The industry is evolving from a high-margin, volatility-driven trading model toward a more institutional, compliance-heavy, and service-integrated structure.

链捕手Há 1h

Crypto Market Makers Collectively Seek Transformation as Money Becomes Increasingly Difficult to Earn

链捕手Há 1h

Market Adjusts Following Google's $84.7 Billion Fundraising, AI Valuations Now Focus on Payback Speed

After Alphabet's announcement of an $84.75 billion equity financing round, market focus for AI investment is shifting from pure growth narratives to capital efficiency and payback periods. The core argument is that AI is being re-priced from a software-like growth story into a heavy-asset infrastructure cycle, requiring massive capital expenditure (CapEx) on chips, data centers, and power grids. While Alphabet's financing itself is not a distress signal—part of it is for administrative purposes like tax obligations on stock compensation—it highlights the enormous capital demands of AI infrastructure. This demand extends beyond tech giants to pure-play AI model companies (like OpenAI, Anthropic), data center REITs, and utilities. Major tech firms are projected to spend heavily on AI data centers in 2026, signaling a broad-based capital cycle the market must absorb. Consequently, valuation logic is changing. Investors are moving away from questions about who has the strongest AI narrative and are now prioritizing clear visibility into orders, stable cash flows, and the cost of capital. This has led to recent pressure on high-multiple AI software and semiconductor stocks, while "picks-and-shovels" hardware, data center, and power assets with firmer near-term demand may see relative support. The key going forward will be monitoring whether rising CapEx guidance across companies is matched by a timely monetization of AI investments into revenue and cash flow. The market's tolerance for high spending depends on demonstrable returns. While the long-term AI thesis remains intact, the valuation framework has fundamentally shifted to emphasize capital discipline and payback speed.

marsbitHá 1h

Market Adjusts Following Google's $84.7 Billion Fundraising, AI Valuations Now Focus on Payback Speed

marsbitHá 1h

Trading

Spot
Futuros

Artigos em Destaque

Como comprar MAY

Bem-vindo à HTX.com!Tornámos a compra de Mayflower (MAY) simples e conveniente.Segue o nosso guia passo a passo para iniciar a tua jornada no mundo das criptos.Passo 1: cria a tua conta HTXUtiliza o teu e-mail ou número de telefone para te inscreveres numa conta gratuita na HTX.Desfruta de um processo de inscrição sem complicações e desbloqueia todas as funcionalidades.Obter a minha contaPasso 2: vai para Comprar Cripto e escolhe o teu método de pagamentoCartão de crédito/débito: usa o teu visa ou mastercard para comprar Mayflower (MAY) instantaneamente.Saldo: usa os fundos da tua conta HTX para transacionar sem problemas.Terceiros: adicionamos métodos de pagamento populares, como Google Pay e Apple Pay, para aumentar a conveniência.P2P: transaciona diretamente com outros utilizadores na HTX.Mercado de balcão (OTC): oferecemos serviços personalizados e taxas de câmbio competitivas para os traders.Passo 3: armazena teu Mayflower (MAY)Depois de comprar o teu Mayflower (MAY), armazena-o na tua conta HTX.Alternativamente, podes enviá-lo para outro lugar através de transferência blockchain ou usá-lo para transacionar outras criptomoedas.Passo 4: transaciona Mayflower (MAY)Transaciona facilmente Mayflower (MAY) no mercado à vista da HTX.Acede simplesmente à tua conta, seleciona o teu par de trading, executa as tuas transações e monitoriza em tempo real.Oferecemos uma experiência de fácil utilização tanto para principiantes como para traders experientes.

264 Visualizações TotaisPublicado em {updateTime}Atualizado em 2026.06.02

Como comprar MAY

Discussões

Bem-vindo à Comunidade HTX. Aqui, pode manter-se informado sobre os mais recentes desenvolvimentos da plataforma e obter acesso a análises profissionais de mercado. As opiniões dos utilizadores sobre o preço de MAY (MAY) são apresentadas abaixo.

活动图片

Categorias popularesright-arrow

Etiquetas Popularesright-arrow