[ad_1]
By Summer Zhen and Jason Xue
HONG KONG (Reuters) – Spot bitcoin exchange-traded funds could launch in Hong Kong this month, with the first approvals expected to be announced next week, two people familiar with the matter said.
This timeline would make Hong Kong the first city in Asia to offer the popular ETFs and is much faster than industry expectations for a launch sometime this year.
According to one of the respondents, regulators have accelerated the approval process.
With Hong Kong having lost much of its luster as a global financial center due to restrictions during the pandemic, China's faltering economy and Sino-US tensions, Hong Kong authorities are eager to do everything in their power to boost the attractiveness of the To improve the city for financial trading.
“The significance of Hong Kong ETFs is far-reaching as they could attract new global investments and drive crypto adoption to new levels,” said Adrian Wang, CEO of Metalpha, a Hong Kong-based crypto asset manager.
Data from BitMEX Research shows that the U.S. launched the first U.S.-listed exchange-traded funds (ETFs) to track spot Bitcoin in January, recording net inflows of about $12 billion.
has gained more than 60% this year, reaching an all-time high of $73,803 in March. On Wednesday it was trading at around $69,000.
At least four asset managers from mainland China and Hong Kong have submitted applications to launch the ETFs, the two sources said.
According to the two people and a third source, the Hong Kong units of China Asset Management, Harvest Fund Management and Bosera Asset Management are among the applicants.
The sources were not authorized to speak to the media and declined to be identified.
The Hong Kong Securities and Futures Commission (SFC) and the three Chinese companies declined to comment.
According to the SFC's website, the Hong Kong units of China Asset Management and Harvest Fund Management received approval this month to manage portfolios that invest more than 10% in virtual assets.
Their parent companies are among the largest mutual fund firms in China, each managing over 1 trillion yuan ($138 billion) in assets.
Although cryptocurrency trading is banned in mainland China, Chinese offshore financial institutions have been interested in participating in the development of crypto assets in Hong Kong.
Hong Kong approved its first cryptocurrency futures ETFs in late 2022. The assets under management of the largest ETF – the CSOP ETF – have grown seven times since September to around $120 million.
Hong Kong-based Value Partners has also said it is exploring launching a spot Bitcoin ETF. It was not announced whether an application was filed.
($1 = 7.2305 yuan)
[ad_2]
Source link
