Hong Kong’s Securities and Futures Commission (SFC) is slated to greenlight the first batch of Spot Bitcoin ETFs on April 15, with availability expected approximately two weeks post-approval, according to Tencent News. Financial analysts anticipate the initial Spot Bitcoin ETF in Hong Kong could amass a sizable $20 billion, albeit smaller than its US counterparts.
Recent updates from the SFC reveal a list of authorized fund companies, featuring Chinese asset managers Harvest Global Investment and China Asset Management, paving the way for the issuance of crypto-related products, including Spot Bitcoin ETFs. Harvest submitted its ETF application on January 26, with discussions already in progress for a potential listing on the Hong Kong Stock Exchange.
The regulatory landscape in Hong Kong underscores a commitment to establishing standards for the Spot Bitcoin ETF market. Building on earlier signals of openness toward approving such products, the SFC and Hong Kong Monetary Authority (HKMA) have collaborated to facilitate the application process, along with setting clear guidelines for intermediaries.
Key requirements include adherence to stringent regulatory standards akin to traditional investment products, a track record of compliance, and the absence of leveraged exposure. Furthermore, issuers must engage exclusively with pre-approved exchanges for asset trading and acquisition activities.
The evolving stance of Hong Kong’s crypto industry leaders, including HashKey Group’s COO Livio Weng, indicates a promising trajectory toward the launch of Spot Bitcoin ETFs. Approximately 10 fund management firms are actively gearing up for this development, underscoring the sector’s drive for innovation within a framework of robust regulatory oversight.
