In 2024, the Bank for International Settlement’s SC60 regulation was enacted in its first global jurisdiction, Hong Kong. Aimed at creating a transparent and easily applicable risk management framework for all digital assets (from crypto-currencies to tokenised securities), this new rule looks set to fundamentally transform how we build and oversee our digital asset networks in the future – linking digital network and asset risk to the levels of risk weighted assets (RWA) held by banks. Despite already passing into law in a growing number of markets, the scope and value of SC60 is still a surprise to many participants in today’s capital markets.

This factsheet is designed to give you a brief oversight of this important regulation - leveraging an industry poll in March 2024 and leading industry insights from Digital Asset.