The Hong Kong Securities and Futures Commission (SFC) has recently received its inaugural application for a spot Bitcoin (BTC) exchange-traded fund (ETF), marking a significant development in the cryptocurrency investment landscape.
Harvest Hong Kong, one of the largest fund management firms in China, officially submitted its spot Bitcoin ETF application to the Hong Kong SFC on January 26, as reported by Tencent News.
It appears that the regulatory body is actively striving to expedite the approval process for ETFs within the nation, with the aim of launching the first Hong Kong spot Bitcoin ETF shortly after the Chinese New Year, scheduled for February 10.
In a notable parallel to the United States’ Securities and Exchange Commission (SEC), the Hong Kong regulatory authority is contemplating the approval of multiple spot ETFs to ensure a fair and competitive environment.
Although Harvest Fund is the pioneer in filing for a spot BTC ETF, it is anticipated that other financial institutions in the region will follow suit.
Several regional financial entities have already expressed their interest in introducing a spot BTC ETF in the year 2024.
As previously reported by Cointelegraph on January 19, a minimum of ten financial institutions in Hong Kong are actively engaged in the process of launching a spot BTC ETF.
READ MORE: US Regulators Issue Cautionary Crypto Warning: Beware of Overhyped AI Trading Bots
Distinguished players in the financial sector, such as Venture Smart Financial Holdings, have already set their sights on the first quarter of 2024 as their target launch date for the spot ETF.
Furthermore, several crypto-oriented firms that have previously launched futures-based crypto ETFs in Hong Kong are also expected to join the queue for spot Bitcoin ETF applications.
Notably, Samsung Asset Management, which introduced the Samsung Bitcoin Futures ETF in 2023, has expressed its willingness to explore the possibility of launching a spot ETF, demonstrating the growing appetite for cryptocurrency investment products in the region.
Hong Kong has gained prominence as a leading cryptocurrency hub in Asia, owing to its regulator’s crypto-friendly stance in 2023.
The SFC introduced crypto-specific regulations in 2023, granting both institutional and retail investors the opportunity to engage in cryptocurrency-related activities.
Even before the SEC in the United States greenlit the first spot BTC ETF, the Hong Kong SFC had paved the way for cryptocurrency-based ETFs and expressed its readiness to accept applications for the authorization of various funds, including digital asset spot ETFs and existing crypto futures ETFs.
This move has solidified Hong Kong’s position as a key player in the global crypto investment arena.
Discover the Crypto Intelligence Blockchain Council
