Hong Kong Poised to Unveil First Spot #BitcoinETFs on April 15
Hong Kong's securities regulator aims to greenlight the inaugural batch of Spot Bitcoin ETFs by April 15, with availability anticipated roughly two weeks post-approval, as per Tencent News. Financial analysts foresee these ETFs hitting a potential size of $20 billion, though smaller compared to their US counterparts.
The Securities and Futures Commission (SFC) recently updated its roster of authorized fund companies, including Harvest Global Investment and China Asset Management. This inclusion empowers them to roll out crypto-related fund products, such as Spot Bitcoin ETFs. Harvest filed its ETF application on Jan. 26, and discussions regarding listing have commenced with the Hong Kong Stock Exchange.
Hong Kong Sets Benchmarks for Spot Bitcoin ETF Market
- In December, Hong Kong signaled its willingness to endorse Spot Bitcoin ETFs, aligning with similar trends in the US. Collaborating with the Hong Kong Monetary Authority (HKMA), the SFC announced its readiness to accept applications for virtual asset products. It also outlined clear guidelines for intermediaries involved in fund distribution.
- The SFC requires spot crypto investment products to meet rigorous compliance standards, similar to traditional mutual funds. Issuers must demonstrate regulatory compliance history and appoint experienced staff to manage virtual assets.
- Additionally, these products are barred from employing leveraged exposure and must conduct all asset trading and acquisition activities via pre-approved exchanges.
10 Fund Managers Eye Spot Bitcoin #launch
Hong Kong's crypto industry leaders welcome the SFC's actions, seeing them as progress towards introducing Spot Bitcoin ETFs. Livio Weng, COO of HashKey Group, disclosed that approximately ten fund management firms are actively gearing up for such ETF launches in Hong Kong. Despite this openness, Hong Kong maintains its reputation for rigorous regulatory oversight in the digital asset space.
Source - Cryptonews