Spot bitcoin exchange-traded funds may debut in Hong Kong this month, with the first approvals probably being revealed the following week, according ot reports quoting information from two sources with knowledge of the matter.
That schedule, which is far faster than industry forecasts of launching later this year, would make Hong Kong the first city in Asia to offer the popular ETFs.
One of the persons said that regulators have accelerated the approval procedure.
Hong Kong authorities are eager to take any necessary steps to increase the city's appeal for financial trade, as the city has lost much of its lustre as a global financial hub as a result of the pandemic's limitations, China's faltering economy, and Sino-US tensions.
"The significance of Hong Kong ETFs is far-reaching as it could bring in fresh global investment as well as pushing crypto adoption to a new height," said Adrian Wang, CEO of Metalpha, a Hong Kong-based crypto wealth manager.
According to data from BitMEX Research, the United States introduced the first exchange-traded funds (ETFs) to track spot bitcoin in January, attracting approximately $12 billion in net inflows.
This year, Bitcoin has increased in value by almost 60%, reaching an all-time high of $73,803 in March. Last week, it was trading at roughly $69,000.
According to the two sources, at least four asset managers from mainland China and Hong Kong have applied to start the ETFs.
Friday saw a sharp decline in Wall Street's primary indexes, closing a week characterised by stronger-than-expected inflation and jobs statistics that caused investors to reassess when to anticipate interest rate cuts.
The two people and a third source claim that among the applicants are the Hong Kong branches of China Asset Management, Harvest Fund Management, and Bosera Asset Management.
The sources declined to be named and were not permitted to communicate with the media.
The three Chinese businesses and the Securities and Futures Commission (SFC) of Hong Kong declined to comment.
The SFC website states that this month, authority was granted to China Asset Management and Harvest Fund Management's Hong Kong divisions to manage portfolios that invest more than 10% in virtual assets.
Their parent companies manage more than 1 trillion yuan ($138 billion) in assets, making them among of the largest mutual fund companies in China.
Despite mainland China's restriction on cryptocurrency trading, offshore Chinese financial institutions are eager to get involved in Hong Kong's cryptocurrency asset growth.
In late 2022, Hong Kong approved its first exchange-traded funds (ETFs) for bitcoin futures. The largest, the CSOP Bitcoin Futures ETF (3066.HK), opens new tab, has seen its assets under management increase to over $120 million, seven times over since September.
A spot bitcoin ETF is something that Hong Kong-based Value Partners has also stated it is considering developing. It hasn't said whether or whether it has filed an application.
(Source:www.theprint.in)
That schedule, which is far faster than industry forecasts of launching later this year, would make Hong Kong the first city in Asia to offer the popular ETFs.
One of the persons said that regulators have accelerated the approval procedure.
Hong Kong authorities are eager to take any necessary steps to increase the city's appeal for financial trade, as the city has lost much of its lustre as a global financial hub as a result of the pandemic's limitations, China's faltering economy, and Sino-US tensions.
"The significance of Hong Kong ETFs is far-reaching as it could bring in fresh global investment as well as pushing crypto adoption to a new height," said Adrian Wang, CEO of Metalpha, a Hong Kong-based crypto wealth manager.
According to data from BitMEX Research, the United States introduced the first exchange-traded funds (ETFs) to track spot bitcoin in January, attracting approximately $12 billion in net inflows.
This year, Bitcoin has increased in value by almost 60%, reaching an all-time high of $73,803 in March. Last week, it was trading at roughly $69,000.
According to the two sources, at least four asset managers from mainland China and Hong Kong have applied to start the ETFs.
Friday saw a sharp decline in Wall Street's primary indexes, closing a week characterised by stronger-than-expected inflation and jobs statistics that caused investors to reassess when to anticipate interest rate cuts.
The two people and a third source claim that among the applicants are the Hong Kong branches of China Asset Management, Harvest Fund Management, and Bosera Asset Management.
The sources declined to be named and were not permitted to communicate with the media.
The three Chinese businesses and the Securities and Futures Commission (SFC) of Hong Kong declined to comment.
The SFC website states that this month, authority was granted to China Asset Management and Harvest Fund Management's Hong Kong divisions to manage portfolios that invest more than 10% in virtual assets.
Their parent companies manage more than 1 trillion yuan ($138 billion) in assets, making them among of the largest mutual fund companies in China.
Despite mainland China's restriction on cryptocurrency trading, offshore Chinese financial institutions are eager to get involved in Hong Kong's cryptocurrency asset growth.
In late 2022, Hong Kong approved its first exchange-traded funds (ETFs) for bitcoin futures. The largest, the CSOP Bitcoin Futures ETF (3066.HK), opens new tab, has seen its assets under management increase to over $120 million, seven times over since September.
A spot bitcoin ETF is something that Hong Kong-based Value Partners has also stated it is considering developing. It hasn't said whether or whether it has filed an application.
(Source:www.theprint.in)
