Hong Kong plans to launch its first Bitcoin and Ethereum spot exchange-traded fund (ETF) on April 30, following approval from the Securities and Futures Commission (SFC), according to report.
These he ETFs, managed by Bosera-HashKey Capital and China Asset Management (ChinaAMC), provide a regulated crypto investment channel and attract both retail and institutional investors.
ETFs utilize a physical asset creation model that allows direct exchange of cryptocurrencies and ETF shares, which is not currently used in the United States.
The launch of these ETFs is a strategic move for Hong Kong to strengthen its position as a digital asset hub and capitalize on the growing global interest in crypto investments.
This follows the approval and launch of a Spot Bitcoin ETF in the United States, the world’s largest economy, leading to a record rise in cryptocurrency prices.
Bitcoin hit a new all-time high of $73,737 since the ETF was launched in the US in January.
As of 1:30 p.m., the price was trading at $65,044. ET, the stock fell 2.5% on the day. Ethereum fell 1.4% to $3,182, according to data from CoinGecko.