Hightlights On The Hong Kong Stock Exchange

Hightlights On The Hong Kong Stock Exchange
0

Two exchange-traded funds (ETFs) that track US-listed cryptocurrency futures will make their debut on the Hong Kong stock exchange this Friday, December 16. The product will have bitcoin and ether as underlying assets and will be the first ETFs listed in Asia.

Crypto Etfs İn Recent Turmoil

According to Reuters coverage, the ETF will follow futures contracts listed on the Chicago Mercantile Exchange in the United States. The products, the CSOP Bitcoin Futures ETF and the CSOP Ether Futures ETF have raised a total of $73.6 million, with the former accounting for $53.9 million of the fund. Yi Wang – chief investment officer at CSOP Asset Management – thinks that this move is a clear sign that Hong Kong has not gone off its crypto path:

 “Following the recent financial crisis affecting some crypto platforms, our two crypto futures ETFs show that Hong Kong is still open to the development of virtual assets.”

 He went on to explain that the products do not invest in “physical” bitcoin and ether and allow investors to jump on the bandwagon without buying tokens on “unregulated platforms.”

 Speaking on this topic, Tim McCourt – Global Head of Equity and FX Products, CME Group – described the launch of the ETF as “an important step for the digital asset ecosystem in Asia”. The Hong Kong Securities and Futures Commission allows the issuance of crypto ETFs, but only if they include bitcoin or ether futures contracts with the CME Group.

 Aiming To Be A Crypto Repository

Hong Kong authorities have unveiled plans to legalize cryptocurrency trading and bring in an industry-friendly regulatory framework by March 2023. “The introduction of licensing in Hong Kong is just one of the important things that the authorities need to do. They cannot meet the needs of investors and traders forever,” Gary Tiu, director of the BC Technology Group Ltd said. Achieving these milestones could make China’s special administrative region one of the world’s crypto hubs.

 According to Arthur Hayes (founder of BitMEX), Hong Kong’s friendly environment in the blockchain industry can change China’s strong opinion. Once the country is most interested in “crypto”, the market may enter a bull run, he argued:

 “Hong Kong’s friendly exchange with crypto tokens in China will re-enter the crypto market. The bull market will return as China loves crypto. It will be a slow process, but the red shoots are growing.”

Telegram address.

Click to rate this post!
[Total: 0 Average: 0]

Join Our Newsletter

Sign up for free now and be the first to know about new updates.

About Author

Write a Comment