Ms Leung Fung-yee, chief executive of the Hong Kong Securities Supervision Commission, has clarified that support for the Web3 ecosystem in Hong Kong does not amount to an endorsement of the asset class of virtual assets. As things stand, virtual assets are clearly highly speculative and their prices fluctuate wildly. Therefore, the Hong Kong Securities Supervision Commission has ensured that extensive investor safeguards are in place while meeting the needs of investors. In the case of virtual asset spot ETFs, it is required that the relevant virtual asset transactions must be conducted on virtual asset trading platforms licensed by the Securities Supervision Commission, and the relevant virtual assets must be held by these platforms or banks that meet the relevant standards. We also require fund management companies to warn investors of risks, and at the same time remind investors of the sharp fluctuations in this asset class.