The FSTB emphasized a “dual-track approach” to foster AI development while addressing associated challenges.
The Hong Kong Financial Services and Treasury Bureau (FSTB) has developed standards for the financial services industry that prioritize efficiency, security, and customer service to guarantee the responsible use of artificial intelligence.
On October 28th, the Financial Services and Treasury Board (FSTB), which is the government agency in Hong Kong that is responsible for formulating and enforcing rules in the areas of finance and treasury, disclosed its position regarding the implementation of artificial intelligence.
According to the Financial Services and Technology Board (FSTB), the financial services industry in HK is open to using artificial intelligence in their operations.
The regulatory body suggested that the financial services industry adopt a “dual-track approach” in order to encourage the development of artificial intelligence while simultaneously addressing potential difficulties.
In order to facilitate the deployment of artificial intelligence in a responsible manner, the government plans to engage with financial regulators and service providers. The paper reveals that the Financial Sector Task Force (FSTB) produced a policy statement outlining six potential benefits from applying next-generation artificial intelligence.
Hong Kong SFC to soon clarify AI-related obligations
These potential opportunities include research and data analysis, the development of investment strategies, improved customer service, automated risk assessment, crime detection and prevention, and workflow automation.
Banking, securities, insurance, accountancy, pension fund administration, and green initiatives are some of the areas in HK that are currently making use of artificial intelligence.
Hong Kong will establish a supervisory framework to mitigate the numerous risks associated with the use of artificial intelligence. These risks include the protection of intellectual property rights, the protection of jobs, and protection for all stakeholders.
Furthermore, in November, the Securities and Futures Commission (SFC) of Hong Kong will publish a circular outlining the rules, regulations, and hazards associated with the implementation of artificial intelligence.
When it came to the introduction of a new licensing framework for cryptocurrency over-the-counter (OTC) services, the Hong Kong Securities and Futures Commission (SFC) solicited the comments of stakeholders in September.
Hong Kong SFC to soon clarify AI-related obligations
According to a report from the South China Morning Post, the Securities and Futures Commission (SFC) and the Customs and Excise Department (C&ED) would be responsible for monitoring businesses that provide over-the-counter (OTC) trading services for cryptocurrencies.
These services enable users in Hong Kong to buy and sell cryptocurrencies in a private setting. The C&ED initially planned to be solely responsible for the regulation and licensing of over-the-counter (OTC) services related to cryptocurrencies in Hong Kong, in accordance with a proposal that went public in February.
