Hong Kong plans to open ETF spot cryptocurrency fund for investors
[ad_1]
With ambitions to become a digital asset hub in the Asia-Pacific region, Hong Kong is currently considering opening a spot ETF for retail cryptocurrency investors.
Recently, the Hong Kong Securities and Futures Commission (SFC) began allowing retail investors to directly purchase cryptocurrency exchange-traded funds (ETF spot).
“We welcome proposals that use innovative technology to improve efficiency and customer experience. We are happy to experiment as long as the risks are addressed. Our approach is consistent regardless of the asset.”
SFC Chief Executive Officer Leung Fengyi
This is considered a big step forward for the cryptocurrency space. However, despite the approval of future ETFs in both the United States and Hong Kong, cryptocurrency ETF adoption remains rather limited.
In Hong Kong, there are 3 futures ETFs currently trading. They are active Samsung Bitcoin Futures, CSOP Bitcoin Futures and CSOP Ethereum Futures, with a total asset value of approximately $65 million.
It is worth noting that Hong Kong regulators have continued to be friendly towards cryptocurrencies recently. In particular, their views on retail investors’ holdings of digital assets have also changed significantly over the past year.
In January 2023, the China Securities Regulatory Commission tightened regulations and restricted retail investors’ participation in cryptocurrency spot ETFs, thereby only allowing professional investors with a minimum investment portfolio of HK$8 million (US$1 million) to participate. Subsequently, the Securities and Futures Commission updated its rulebook in October to allow more investors to participate in cryptocurrency trading and spot ETFs.
“The policy update comes in response to the industry’s new mandate to expand retail investor access through intermediaries and allow investors to deposit and withdraw crypto directly from/within intermediaries with appropriate safeguards in place currency”.
Securities Regulatory Commission Quote
Additionally, last month, Hong Kong revealed its Web3 plans. In addition, the Hong Kong Monetary Authority is also committed to integrating digital asset custody services within banks, which is a key factor in cultivating the development of the digital asset ecosystem.
VIC encryption compilation
related news:
Hong Kong lists ‘suspicious’ cryptocurrency platforms after JPEX scandal
Vitalik Buterin Skeptical of Hong Kong’s Crypto-Friendliness
Hong Kong bond tokenization efforts significantly improve market operations
[ad_2]
Source link
