Ten Hong Kong financial institutions want to apply to start Bitcoin exchange-traded funds (ETFs), making the city the next stop after the United States for spot BTC ETF approval.
The Hong Kong Securities and Futures Commission (SFC) allegedly received the first spot Bitcoin ETF application following the approval of the first spot Bitcoin exchange-traded fund (ETF) in the US a few weeks ago.
Tencent News reported on January 26 that Harvest Hong Kong, a leading Chinese fund manager, applied to the Hong Kong SFC for a spot Bitcoin ETF. According to the article, the regulatory body is making great strides to speed up the clearance process for exchange-traded funds (ETFs) in the nation. This is in anticipation of the launch of the first spot Bitcoin ETF in Hong Kong after the Chinese New Year on February 10.
The article states that in order to maintain parity, the Hong Kong regulatory agency may mimic the US SEC’s strategy and authorize many spot ETFs. It is possible that more firms may follow Harvest Fund in applying for a spot Bitcoin ETF. In 2024, some regional banks have expressed their desire to provide a spot Bitcoin exchange-traded fund (ETF).
On January 19, Cointelegraph claimed that ten or more domestic financial firms are in the process of finalizing the details of a spot Bitcoin exchange-traded fund (ETF). Financial juggernauts like Venture Smart Financial Holdings anticipate launching the spot ETF in the first quarter of 2024.
Spot Bitcoin ETF registrants are likely to include a number of established crypto firms that have already introduced crypto ETFs based on futures in Hong Kong. According to reports, Samsung Asset Management has said that it would not “eliminate the possibility of exploring launching a spot ETF.” This statement follows the 2023 launch of the Samsung Bitcoin Futures ETF.
As a result of its regulator’s stance in favor of cryptocurrency in 2023, Hong Kong has become a top location for crypto in Asia. Institutional and individual investors were able to take part in crypto activities when the SFC established crypto-focused rules in 2023. Digital asset spot ETFs and existing crypto futures ETFs were among the funds that the Hong Kong SFC declared ready to accept applications for registration before the U.S. SEC even authorized the first spot Bitcoin ETF.
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