The Securities Regulatory Commission of Hong Kong (SFC) is said to be expediting the approval process for four Bitcoin (BTC) exchange-traded funds (ETFs). Local news outlet Tencent News reports that the first batch of these ETFs is expected to be approved in Hong Kong by April 15. Sources close to the Hong Kong Securities and Futures Commission reveal that initially, the regulator planned to approve only four Bitcoin ETFs in the first batch. Recent updates indicate that while Boshi Fund and Value Partners Financial are waiting for regulatory approval, Harvest International and China Asset Management have already made progress in leading the way in this cryptocurrency investment advancement.
Once the initial set of Bitcoin ETFs is approved by the Securities and Futures Commission of Hong Kong, the Hong Kong Stock Exchange will require approximately two weeks to complete listing procedures and related arrangements. The upcoming approval of Bitcoin ETFs in Hong Kong opens up numerous opportunities for institutional and individual investors. The inclusion of Bitcoin investments through ETF purchases allows retail investors to participate, signaling a significant shift in the investment landscape.
Julia Leung, the CEO of the SFC, highlighted the importance of responsible use of innovative technologies such as distributed ledger technology and tokenization to improve efficiency in the financial industry. She emphasized the need for investor protection during her keynote speech at the HSBC Global Investment Summit. Leung also mentioned efforts to align corporate reporting standards with sustainability disclosure standards and to promote informed investment decisions in line with sustainability goals.
It is worth noting that the approval of spot Bitcoin ETFs in Hong Kong is expected to come approximately three months after the United States approved its first batch of such ETFs. Currently, the top 10 spot Bitcoin ETFs manage around $57 billion in assets, with the leading trio representing more than 88% of the total.
With lackluster performance in the stock market, traditional institutional investors are showing increased interest in cryptocurrencies. To encourage the adoption of Web3 technology in Hong Kong, ZA Bank has announced plans to offer specialized banking services for stablecoin issuers, including secure custody for fiat reserves to back digital assets.