On April 30, six spot ETFs based on bitcoin and Ethereum officially began trading on the Hong Kong Stock Exchange (HKEX).
The issuers were China Asset Management, Harvest Global, Bosera and HashKey,
The tools received the following tickers:
Bosera HashKey Bitcoin ETF (3008.HK);Bosera HashKey Ether ETF (3009.HK);ChinaAMC Bitcoin ETF (3042.HK);ChinaAMC Ether ETF (3046.HK);Harvest Bitcoin Spot ETF (3439.HK);Harvest Ether Spot ETF (3179.HK).ChinaAMC reported that the subscription volume during the initial placement for its bitcoin—based product amounted to 950 million HKD ($121.4 million), based on Ethereum - 160 million HKD ($20.5 million).
ChinaAMC said its IOP (initial offering period) scale today is: HK$950 million for ChinaAMC HongKong Bitcoin ETF; HK$160 million for ChinaAMC Ethereum ETF, totaling approximately US$142 million. Bitcoin ETF is about 6x larger than Ethereum. https://t.co/9hgicVWsKc
— Wu Blockchain (@WuBlockchain) April 30, 2024HKEX representatives stressed that the listing of Asia's first exchange-traded fund for virtual assets strengthens the city's position as a leading market in the region.
In the first quarter, net inflows into three previously launched bitcoin-based futures ETFs amounted to HKD 529 million (~$67.6 million)
In addition to Hong Kong residents, the tools are available to qualified non-resident investors after passing KYC. Mainland Chinese residents are still unable to invest in a new product category.
Three Bitcoin and Ethereum spot ETFs in Hong Kong have officially started trading now. Non-Hong Kong residents can also subscribe or purchase ETF products if they meet local regulatory requirements, such as passing customer due diligence. https://t.co/RxbVcv1TSy pic.twitter.com/tkE5cKVrAW
— Wu Blockchain (@WuBlockchain) April 30, 2024Unlike the BTC-ETFs approved in the USA, their competitors in Hong Kong have a subscription and repayment mechanism in kind. This allows you to exchange the underlying assets for shares of exchange-traded funds and vice versa, while the American counterparts operate on a cash repayment model.
This approach makes it possible to increase efficiency and expand arbitration opportunities.
According to HKEX data, on April 30, the trading volume of spot ETFs for bitcoin and Ethereum exceeded HKD 49.4 million (~$6.3 million) during the morning session. Of these, the fund based on the second largest cryptocurrency capitalization is HKD 1.53 million ($0.2 million).
For comparison, the figure on the first trading day of 11 spot BTC-ETFs in the United States reached $4.6 billion.
Data: SoSoValue.Recall, according to forecasts by Bloomberg analyst Rebecca Sin, within two years, the inflow of funds into this category of products could reach $ 1 billion.
Earlier, her colleague Eric Balchunas said that cryptocurrency ETFs listed in Hong Kong would be "lucky" if they managed to raise a total of $500 million. The expert called Matrixport's projected $25 billion "madness."
https://forklog.com/news/blockfin-academy-gonkong-sposoben-dat-likvidnost-dlya-rosta-bitkoina