Reports indicate that the Securities and Futures Commission of Hong Kong is on the verge of giving the green light to a spot Bitcoin exchange-traded fund, marking a significant milestone in the city’s cryptocurrency market.
According to Tencent News, Hong Kong is set to approve the first set of spot Bitcoin ETFs in the region by April 15. Sources close to the Hong Kong Securities and Futures Commission revealed that the regulator initially planned to approve only four spot Bitcoin ETFs in the initial batch. However, recent developments have shown that at least two applications did not meet the necessary criteria for cryptocurrency asset management in Hong Kong. As a result, the timing and recipients of approval for offering the first spot Bitcoin ETFs in the region are uncertain.
Various Hong Kong-based companies and entities from mainland China have expressed interest in launching spot crypto exchange-traded funds. China Southern Fund, Harvest Fund, Jiashi Fund, Huaxia Fund, and Southern Fund have all submitted applications through their Hong Kong branches and are currently awaiting regulatory approval.
Upon approval of the first batch of spot Bitcoin ETFs by the Securities and Futures Commission of Hong Kong, the Hong Kong Stock Exchange will require approximately two weeks to prepare for product listing and other related matters.
The potential approval of spot Bitcoin ETFs in Hong Kong may come three months after the U.S. Securities and Exchange Commission approved the first batch of spot Bitcoin ETFs in the United States. Currently, the top 10 spot Bitcoin ETFs have a combined total of around $57 billion under management, with the top three accounting for over 88% of this amount.
In related news, Hong Kong’s largest futures Bitcoin ETF has seen a significant surge of 500% in assets under management. Stay updated with the latest developments by following us on Google News.