Hong Kong will consider crypto ETF proposals
In a joint notice issued on December 22, the Hong Kong Securities and Futures Commission (SFC) together with the Hong Kong Monetary Authority (HKMA) announced that they will begin reviewing the proposals. Export to the Cryptocurrency Exchange Fund from startup financial institutions.
HK SFC said it prepared to accept applications for the authorisation of other funds with exposure to virtual assets, including virtual asset spot exchange-traded funds (Crypto spot ETFs). https://t.co/sJFuJCjbNT
— Wu Blockchain (@WuBlockchain) December 22, 2023
Both bodies emphasized that the cryptocurrency sector has undergone significant changes since 2018, when the SFC introduced regulations allowing only professional investors to participate in the crypto market. The emergence of cryptocurrencies in the traditional finance sector is opening up many opportunities, with major Wall Street firms considering launching Bitcoin Traded Funds.
In addition, the SFC has issued a specific notice on the conditions that investment funds need to comply with to be allowed to invest in crypto ETF products through licensed cryptocurrency exchanges.
However, the regulations of the Hong Kong Securities Commission are very serious, imposing many supervision and management mechanisms on both ETF issuers, ETF depository units and reference intermediaries. price for the product and the ETF listing exchange.
Related: Bitcoin Price Poised to Surpass $50K with Expected ETF Approval
Hong Kong is now emerging as one of the most open jurisdictions for cryptocurrencies in 2023. After they officially enacted a law governing crypto exchanges in June, officials here It also encourages banks to actively cooperate with crypto companies. In November, there were rumors that Hong Kong was preparing to allow individual investors to participate in cryptocurrency trading.
