Hong Kong to debut Bitcoin and Ethereum ETFs on April 30
04/25/2024 01:21City's first spot cryptocurrency ETFs to offer regulated investment options.
Hong Kong is set to launch its inaugural spot Bitcoin and Ethereum exchange-traded funds (ETFs) on April 30, following approval by the Securities and Futures Commission (SFC), Bloomberg reported.
These ETFs, managed by Bosera-HashKey Capital and China Asset Management (ChinaAMC), will provide a regulated investment channel for cryptocurrencies, aiming to attract both retail and institutional investors.
The ETFs will utilize an in-kind creation model, allowing for the direct exchange of cryptocurrencies for ETF shares, a method not currently used in the United States.
The introduction of these ETFs is a strategic move by Hong Kong to cement its status as a digital asset hub and capitalize on the increasing global interest in cryptocurrency investments.
It follows the approval and launch of spot Bitcoin ETFs in the world’s largest economy, the U.S., which led to a record-breaking surge in cryptocurrency prices.
Bitcoin has reached a new all-time price record of US$73,737 since the ETFs launched in the U.S. in January.
It traded at US$65,044 at 1:30 p.m. ET, down 2.5% on the day. Ethereum is down 1.4% at US$3,182, according to CoinGecko data.