Since the Hong Kong Stock Exchange is the only regulated exchange in Asia that offers Bitcoin ETF futures, some believe that fast-moving cryptocurrency ETF products will soon be allowed.
Samsung Asset Management, a Hong Kong-based exchange-traded fund (ETF), said it plans to list the country’s Bitcoin ETF on the city’s stock exchange if policy permits.
January 13 In a published interview with Bloomberg, Sam Park, the head of Samsung Asset Management in Hong Kong, said: “It really depends on how politics unfolds.” He added that Hong Kong’s rulers are “obviously” interested in developing the city into a cryptocurrency hub.
Rebecca Sin, an ETF analyst at Bloomberg Intelligence, noted that “Hong Kong is well positioned to become Asia’s cryptocurrency gateway” and expects Bitcoin and ETH (ETH) products to be available there by the end of the year.
The spot market refers to the market where the exchange of financial instruments is settled immediately, while the futures market refers to the market where participants buy and sell contracts to be settled at a later date.
Samsung on January 13 launched the Bitcoin Futures ETF on the Hong Kong Exchanges and Clearing Market, currently the only exchange in Asia to support Bitcoin Futures ETF trading.
At the time of publication, the ETF price has already increased by 4.2%.
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Other Hong Kong futures ETFs also showed interest, with two ETFs managed by CSOP Asset Management raising $73.6 million.
As Yi Wang, CEO of CSOP, noted at the time: “ETFs do not invest in physical bitcoin and […] have more regulatory guarantees for investors than tokens traded on unregulated platforms.
Related: Hong Kong ranger seeks crackdown on liquor retailers
January 5 In an interview with Bloomberg Asia via Twitter Space, Animoca Brands CEO Yat Xiu said that Hong Kong is a more attractive location than the United States:
“Of course the US was a market back then that was probably better. But, you know, I’d say places like Asia, especially Hong Kong, are starting to look very attractive because of their virtual asset policies, […] basically because of wanting to be a leader in this space.
Regulatory uncertainty is often cited as the reason why so much cryptocurrency activity is leaving the US and has prompted lawmakers to pass cryptocurrency regulations as soon as possible.