(Bloomberg) -- Hong Kong gave initial approvals for asset managers to launch spot-Bitcoin and Ether exchange-traded funds, a development that boosted both digital assets as well as the wider crypto market.

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China Asset Management, Harvest Global Investments and a partnership between HashKey Capital Ltd. and Bosera Asset Management (International) Co. all announced initial approvals in separate statements on Monday.

ChinaAMC is working with OSL Digital Securities Ltd. and BOCI-Prudential Trustee on the new products.

Hong Kong is vying with the likes of Singapore and Dubai to establish itself as a hub for digital-asset firms. The city rolled out a regulatory regime for virtual-asset service providers in June 2023.

The crypto market got a boost from the authorities’ decision to give a green light for spot funds. Bitcoin extended gains, climbing as much as 4.1% to about $66,500, while Ether added 6.1% to reach $3,257.

--With assistance from Kiuyan Wong.

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