Bitcoin ETFs Begin Trading in Hong Kong

Deniz Saat

April 29, 2024 @ 11:49 PM PT

Spot Bitcoin exchange traded funds (ETFs) officially launched in Hong Kong as its stock market opened.

The long-awaited approval marks the beginning of a new era for the Bitcoin industry in the region.

After Hong Kong's Securities and Futures Commission approved three Spot Bitcoin ETF applications earlier this month, major asset managers have been preparing for this development.

Among those receiving regulatory approval were China Asset Management, Harvest Global Investments, Bosera International, and HashKey.

Eric Balchunas and James Seyffart, ETF analysts at Bloomberg, revealed in a post on X that the fees for the ETFs were lower than initially anticipated, which they noted as a "good sign."

https://twitter.com/EricBalchunas/status/1783102626562760865

These ETFs are expected to draw significant interest from both local and international investors, positioning Hong Kong as a leading destination for Bitcoin investment opportunities.

Matrixport, based in Singapore, and Markus Thielen from 10x Research predict that Hong Kong's Spot Bitcoin ETFs could generate up to $25 billion in new demand.

This highlights the important role these financial instruments could have in establishing Bitcoin as a mainstream asset class.