[Hong Kong SFC Requires Licensed Institutions to Be Vigilant Against Layering Transactions to Prevent Money Laundering] The Hong Kong Securities and Futures Commission (SFC) has issued a circular requiring licensed corporations and virtual asset trading platforms to remain vigilant against suspicious fund transfers that exhibit signs of layering transactions, in order to prevent money laundering activities. The SFC pointed out that there is a rising trend of criminals using licensed institutions for layering transactions, attempting to conceal the origins and destinations of illicit funds and launder proceeds from fraudulent cases. Warning signs of layering transactions include frequent, rapid, and organized deposits followed by swift withdrawals into funds or virtual assets. The SFC reiterated its strict requirements for licensed institutions to detect and prevent layering transactions.