The launch of spot Ethereum ETFs in Hong Kong is tomorrow, April 30. Foresight News reports that today, on the eve of the launch, one of the issuers, China Asset Management Hong Kong, held a press briefing on the topic “Asian Premiere - ChinaAMC Spot Bitcoin ETF and ChinaAMC Spot Ethereum ETF.”
What is interesting and what you need to know for the evening of April 29 from their briefing and in general?
1. China Asset Management Hong Kong expressed confidence that the trading volume on the first day in Hong Kong will exceed the volume on the first day in the United States (which is $125 million). According to the issuer, many investors in Singapore, the Middle East and elsewhere are very interested in the instrument.
2. Mainland China investors are not permitted to invest in Hong Kong Cryptocurrency Spot ETFs. It has already been confirmed as a fact by the issuer. That is, there will be no Chinese liquidity, at least for now.
3. China Asset Management Hong Kong's head of digital asset and family wealth management, Zhu Haokang, said he has communicated with some family offices in Hong Kong, Asia and overseas, and many of them have shown great interest. He believes that more family offices will invest in virtual assets in the future.
4. Hong Kong issuers do not care whether US regulators declare#ETHa security or not. The Hong Kong Securities Regulatory Commission has its own set of procedures for determining whether a particular virtual asset is a security and can be opened to retail traders.
5. So far, only BTC and#ETHmeet the conditions for launching ETFs, but issuers have discussed and studied the situation with the China Securities Regulatory Commission regarding the launch of ETFs for other crypto assets.
6. Well-known cryptanalyst Willy Wu recalled that the Asian market in terms of the number of cryptocurrency users is larger than the markets of the USA and Europe combined. True, it is not entirely clear what the market for cryptocurrency users has to do with it. To put it more correctly, talk about the ETF market. And in this niche, as#Bloombergexperts wrote, the United States simply has many times more liquidity. Looks more like manipulation. Retail users of the crypto market, even before the launch of ETFs, bought and continue to buy crypto assets on exchanges (even if some of them were done through workarounds) and they do not need an ETF for this.
In general, sentiment among market participants regarding the launch of cryptocurrency ETFs in Hong Kong is brisk. The complete opposite of the situation in the States. Where, as it turned out, the US SEC has considered#ETHa security for more than a year, but did not want to tell anyone about it 😁. Plus, forecasts are becoming louder that spot Ethereum ETFs will not be approved by the end of May.
Justin Sun (CEO TRON, HTX) also joined the promotion of this thesis today. Stating that “the crypto industry still needs to prepare for long-term regulatory education, focusing on helping them understand cryptocurrency.”
Although the Franklin Templeton spot Ethereum ETF ticker#EZEThas already appeared on the DTCC website (Depository Trust & Clearing Corporation, clears transactions on NASDAQ) - this has not caused any powerful pump in the asset price. Perhaps because manipulations with the ticker theme on DTCC have already been tested on the spot#BitcoinETF. By arranging a pump and dump on it. The appearance of tickers on the DTCC website is part of the process of bringing an ETF to market, but does not guarantee its approval. DTCC's list includes active and potential ETFs.
In the market for alcoins and#ETHin particular, many people have disbelief and indifference. But, as we already wrote today, technically#ETHis promising growth. Adding positivity to #Santiment, they stated that the average commission level on#Ethereumhas dropped to just $1.12 per transaction, which is the lowest daily figure since October 18th. This, according to experts, may indicate the approaching altseason.
