Deep Tide TechFlow news, July 9, according to The Block, the Hong Kong Securities and Futures Commission (SFC) issued a circular requiring licensed virtual asset trading platforms and internet brokers to stop using one-time passwords (OTP) for user login and device binding within 12 months, and instead adopt stronger authentication methods such as passkeys and device binding. This move stems from the fact that in 2025, deceptive attacks accounted for as high as 57% of Hong Kong cybersecurity incidents.

The SFC also requires institutions to establish monitoring systems for suspicious logins, transactions, and withdrawals, and promptly notify customers of abnormal account activities. Large brokers must immediately implement the new authentication measures. The SFC stressed that if internal control deficiencies lead to customer losses, relevant responsibilities will be pursued.