The three spot Bitcoin exchange-traded funds (ETFs) in Hong Kong have surpassed HK$2 billion (round $272 million) in belongings underneath administration since launching earlier this yr.
NEW: 🇭🇰 Hong Kong #Bitcoin ETFs surpass HK $2 billion in belongings underneath administration.
China is getting ready 🙌 pic.twitter.com/GQZC1Z5UFC
— Bitcoin Journal (@BitcoinMagazine) August 26, 2024
The milestone comes simply months after Hong Kong accepted its first spot bitcoin ETFs, following related strikes within the U.S. and Europe. The ETFs present publicity to Bitcoin costs with out straight proudly owning Bitcoin.
Whereas volumes have been slower than U.S. Bitcoin ETFs, belongings underneath administration have steadily climbed. This means a rising institutional urge for food for regulated Bitcoin merchandise in Asia.
The ChinaAMC Bitcoin ETF is the biggest of the Hong Kong Bitcoin ETFs, with over $142 million in web belongings. Bosera Hashkey’s Bitcoin ETF comes subsequent with round $99 million in holdings, adopted by Harvest Bitcoin ETF with $31 million. Collectively, the entire Bitcoin holdings throughout the three Hong Kong ETFs stand at roughly 4,450 BTC, value $272 million at present costs.
Business observers consider improvements just like the ETFs’ redemption technique may entice extra capital over time. The Hong Kong merchandise enable for in-kind redemptions utilizing precise Bitcoin, not like cash-only U.S. ETFs.
The expansion signifies growing Bitcoin adoption by institutional traders in Asia. If curiosity in Hong Kong’s spot Bitcoin ETFs continues on the present tempo, they may emerge as a major regional pool of Bitcoin demand.
Different Asian nations, similar to Singapore, Malaysia, and South Korea, are additionally within the pipeline to launch spot Bitcoin ETFs. This might additional combine Bitcoin inside mainstream finance throughout the continent.
