As per the expected timelines, the Hong Kong Securities and Futures Commission (SFC) has given the green light for the trading of spot Bitcoin ETFs and spot Ethereum ETFs in the region. This also makes Hong Kong the first jurisdiction to issue a spot Ethereum ETF while the US SEC still continues to contemplate.
HK etf approval means btc and eth are becoming mainstream assets that even your mother could buy from a bank.
This is a game changer.
— Joseph Young (@iamjosephyoung) April 15, 2024
Top Firms Secure Bitcoin, Ethereum ETF Approval in Hong Kong
Several prominent financial firms, including China Asset Management, Bosera Capital, and HashKey Capital Limited, have received approval from the Hong Kong Securities and Futures Commission for their applications to launch Bitcoin and Ethereum spot exchange-traded funds (ETFs), as reported by local new publication. This development enables investors to utilize Bitcoin and Ethereum directly to acquire shares in these ETFs.
In addition to these approvals, Harvest Global Investments revealed that the Hong Kong Securities and Futures Commission has granted preliminary approval for the creation of Bitcoin and Ethereum digital asset spot ETFs, signaling further expansion in the digital asset investment landscape.
Harvest’s investment in the two major digital asset spot ETF products will be through OSL Digital Securities Co., Ltd., the first digital asset platform licensed and insured by the HK’ SFC. This will help to effectively solve the excessive margin requirements, price premiums and rollovers caused by the lack of short positions. It can solve problems such as warehouse losses and more accurately reflect the real-time value of Bitcoin.
Will Mainland Chinese Investors Get Access
Currently, Mainland China has issued a complete crypto ban in the region. Thus, the chances of its access to Hong Kong-listed Bitcoin and Ethereum ETFs look slim at this stage. Issuers in Hong Kong have verified that regulatory constraints prohibit mainland Chinese funds from investing in cryptocurrency-related ETFs.
