Hong Kong subsidiaries of Chinese asset managers apply for spot bitcoin ETFs
Quick Take
- The Hong Kong-based subsidiary of Chinese asset manager Harvest Fund has applied with regulators to offer spot bitcoin ETFs, while Southern Fund is “exploring” the application process, according to Chinese state media.
The Hong Kong subsidiaries of multiple China-based asset management firms have submitted applications or explored ways to offer spot bitcoin exchange-traded funds in the administrative region.
Harvest Fund and Southern Fund, both located in Hong Kong and each managing assets worth more than $200 billion, have shown interest in offering such ETFs, Chinese state newspaper Securities Times reported on Monday. Due to severe restrictions on cryptocurrency trading and mining, asset managers cannot offer ETFs in mainland China.
The news follows reports that Harvest Fund's Hong Kong arms had submitted an application for a spot bitcoin ETF in January. Southern Fund, which is offering bitcoin futures ETF and ether futures ETF in Hong Kong, could also be interested in launching a spot bitcoin ETF, according to the report.
Crypto investors have waited months for spot bitcoin ETFs' debut in the Hong Kong market. Last year, the Hong Kong Monetary Authority and the Securities and Futures Commission said they would accept applications for the crypto-based ETFs. The funds’ rollouts would allow Hong Kong investors to gain exposure to bitcoin.
In 2022, Harvest Fund Management’s business arm in Hong Kong launched a futures crypto ETF.
Update: April 9, 2:00 UTC: Updated throughout for clarification.
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