History is happening before our eyes. The Hong Kong Securities and Futures Commission has approved bitcoin spot ETFs. Now we know when these will start working!
Bitcoin ETFs in Hong Kong
HashKey Capital, a local asset management company, has confirmed that its spot bitcoin ETF will be available to investors next Tuesday, April 30. The institution's spokesperson has already confirmed the launch date of the ETF in a statement sent to the media. Thus, HashKey will be the first entity to offer BTC ETFs in the region. We probably won't have to wait long for more such products.
OSL, a digital asset platform that serves as a sub-custodian and infrastructure services provider for two major fund managers, also said bitcoin spot funds are expected to launch as early as late April. All this strengthens Hong Kong's position as a place that aspires to be the new center of cryptocurrency trading in the world. Although, of course, the city-state is still far from the USA in this respect.
What's at stake?
Bloomberg analysts recently downplayed the importance of Hong Kong ETFs. They pointed out that funds in the USA were more important. The reason seems obvious. There's more money on Wall Street. This is where BlackRock operates, a financial market giant ($9.101 trillion in assets under management in the third quarter of 2023!), which saw the potential in bitcoin last year.
However, ETFs in Hong Kong can strengthen bitcoin's position in the long term and increase its valuation.
For example, according to the predictions of Matrixport and Markus Thielen, founder of 10x Research, spot ETF funds in Hong Kong may pump as much as USD 25 billion into the market.
Additionally, they can help the Chinese invest in bitcoin. Today, it is not entirely certain whether citizens of the Middle Kingdom will be able to invest in BTC ETFs, but it seems to be a matter of time. Anyone who remembers the increases from 2013 and 2021 knows what potential we are talking about here.
