The global digital assets industry is on the verge of bagging another major approval. Reports suggest that Hong Kong is on the verge of approving exchange-traded funds (ETFs) directly tied to Bitcoin and Ether. This move is anticipated to pump the crypto market before the big Bitcoin halving event.
Hong Kong to give big approval
According to reports, sources familiar with the matter revealed that the regulatory approval could arrive as early as Monday. It added that among the anticipated issuers, there are international branches of prominent Chinese asset managers, Harvest Fund Management Co., and Bosera Asset Management (International) Co., in partnership with HashKey Capital.
It is important to note that these entities are reportedly waiting for the green flag from the Securities and Futures Commission (SFC) to launch spot-crypto ETFs. It is expected that these companies have plans to commence trading by the end of the month. However, listing details are still pending with Hong Kong Exchanges & Clearing Ltd.
The US Securities and Exchange Commission (SEC) in January 2024 approved the trading of spot Bitcoin Exchange-Traded Fund (ETF). Bitcoin recorded massive gains since gaining assent from the regulator. BTC price is up by 65% in the last 90 days. It is trading at an average price of $69,778, at the press time.
Bitcoin gain more?
The recent success of spot Bitcoin ETFs in the US has played a major role in reviving crypto markets. A high inflows has been recorded across various ETFs. This includes BlackRock’s iShares Bitcoin Trust.
Bitcoin began trading at around $42,000 price level at the beginning of the year. However, BTC went ahead to hit its all time high (ATH) of $73,750 in mid March. It is holding a market cap of $1.36 trillion.
The global digital assets market cap recorded a drop of 1.39% over the last day to stand at $2.59 trillion. The 24 hour trading volume dropped by 12% to stand at $76.8 billion.
While the precise timeline remains subject to some adjustments, the impending approvals show Hong Kong’s mission to establish itself as a prominent hub for crypto linked firms. It is a bid to compete with counterparts like Singapore and Dubai.
HK has been actively rolling out regulatory frameworks for virtual asset service providers since June 2023. It had previously approved granted to platforms operated by HashKey Group and OSL Digital Securities.
The global digital assets industry is on the verge of bagging another major approval. Reports suggest that Hong Kong is on the verge of approving exchange-traded funds (ETFs) directly tied to Bitcoin and Ether. This move is anticipated to pump the crypto market before the big Bitcoin halving event. Hong Kong to give big approval […] Read MoreNews, Bitcoin, Crypto, ETF, SEC
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