According to the media Securities Times, China's financial giants Harvest Fund and Southern Fund recently submitted applications to launch a new Bitcoin spot ETF.
Harvest Fund and Southern Fund Lead China’s Bitcoin ETF Promotion
Despite China’s historical skepticism toward Bitcoin and cryptocurrencies, leading fund companies are now actively seeking regulatory approval to launch Bitcoin ETFs.
Harvest Fund through its Hong Kong subsidiary and Southern Fund through its Hong Kong branch have proactively applied for and deployed Bitcoin ETFs.
Additionally, China Asset Management’s Hong Kong subsidiary recently entered into a partnership with a Bitcoin ETF custodian, highlighting the expanding scope of industry collaboration.
Hong Kong’s fund industry has reportedly become a testing ground for new Bitcoin investment products. With the support of their Hong Kong subsidiaries, leading fund companies can expand their product lines and investment scope. The move enables them to tap into the region’s growing demand for alternative investment options.
The successful launch of Asia’s first cryptocurrency ETF by CSOP, a Hong Kong subsidiary of Southern Fund, has reportedly sparked strong interest in the cryptocurrency market, adding some excitement to the possible approval of the new Bitcoin ETF application.
Despite market volatility, CSOP’s FA Southern Bitcoin Futures ETF has achieved impressive returns and trading volumes, which has attracted the attention of other public funds and investors.
Additionally, at the “2024 Hong Kong Web3 Carnival”, regulators expressed their commitment to promoting industry participation and implementing comprehensive public education commitments.
This approach aims to encourage the development of digital asset markets while striking a balance between innovation and regulation, marking a significant shift in the industry’s regulatory stance.
The report also highlights the ongoing collaboration between China Asset Management’s Hong Kong branch and HashKey Exchange, demonstrating its efforts to establish a new regulatory framework for virtual assets.
Approval expected in the second quarter
According to the Securities Times, industry insiders predict that the application for a Bitcoin ETF may be implemented as early as the second quarter of this year.
The report also states that Hong Kong is considering promoting the creation and redemption of spot Bitcoin ETFs, which could significantly increase AUM and trading volumes in the region.
Ultimately, with Harvest Fund managing over $230 billion in assets and Southern Fund managing over $280 billion, their entry into the Bitcoin ETF space also reflects the growing institutional interest in digital assets.
As the regulatory environment develops and industry support strengthens, Hong Kong could position itself as a key hub for new Bitcoin investment products, paving the way for wider adoption of digital assets in the region. #比特币ETF #香港
