The Hong Kong Private Wealth Management Association survey shows that the trading volume of cryptocurrencies in Hong Kong increased by 85.6% last year and this year, the largest increase in the East Asia region. About one-third of the private wealth management companies surveyed expect the allocation of virtual assets to be between 6% and 10% in the next 5 years, which is a significant increase compared to the current 2% of companies. The report points out that, similar to places like Singapore and Dubai, Hong Kong is improving its regulatory system to become a virtual asset center, encouraging more financial innovation. However, member companies have not made significant progress in adopting virtual assets. Although 17% of surveyed companies are developing virtual asset trading or services for clients, a significant increase from 3% last year, 79% are still taking a wait-and-see attitude and have not implemented immediate plans. The report mentions that integrating virtual asset products into existing banking systems brings operational challenges, including the need for professional knowledge and infrastructure to effectively manage virtual assets and ensure compliance with constantly changing regulations. Despite increasing interest from investors in virtual asset products, member companies remain cautious due to concerns about compatibility, due diligence and suitability requirements, and the overall complexity of integrating these products into their offerings.