Harvest Hong Kong, one of China’s leading fund companies, has officially submitted an application for a Bitcoin spot ETF to the Hong Kong Securities and Futures Commission. This marks a significant development as the first institution in Hong Kong to seek approval for a Bitcoin spot ETF.
According to exclusive information obtained by Tencent News “First Line,” the application was submitted last Friday, and Harvest Fund Hong Kong Company refrained from providing comments at this time.
The Hong Kong Securities and Futures Commission, in light of recent advancements in the sector, aims to expedite the approval process for the first Hong Kong Bitcoin spot ETF. Insiders suggest that the Hong Kong Stock Exchange listing is anticipated shortly after the Spring Festival.
Landscape of U.S. Bitcoin Spot ETFs
Remarkably, this move comes just two weeks after the U.S. Securities and Exchange Commission granted approval for the first batch of U.S. Bitcoin spot ETFs on January 11. Hong Kong’s regulatory acceleration aligns with the U.S. momentum following their recent regulatory nod.
Comparative data reveals that the United States currently boasts 27 Bitcoin spot ETFs, with GBTC under Grayscale Bitcoin Trust leading the pack at a substantial $20.2 billion. Other key players include BlackRock’s IBIT, Proshare’s BITO, and Fidelity Fund’s FBTC, all displaying significant market presence.
Insiders suggest that the Hong Kong Securities Regulatory Commission might follow the U.S. model, concurrently approving applications from multiple companies. As of now, Harvest Fund stands as the sole applicant despite ongoing communications from institutions like CSOP.
Analyzing the situation, Hong Kong fund professionals caution that, even with multiple approvals, the Hong Kong market may mirror the U.S. market’s performance. Companies with broader investor bases and extensive customer acquisition channels, such as BlackRock and Fidelity Fund, may experience faster growth.
ETF Data reports BlackRock’s IBIT as the third-largest ETF in the United States over the past year, reinforcing the attractiveness of spot ETFs to investors.
Family office investor managers in Hong Kong express keen interest in subscribing to Hong Kong’s spot ETFs. While optimistic, they acknowledge potential gaps in scale compared to the United States.
Tencent News “First Line” also hints at the unique feature of Hong Kong’s spot ETFs, potentially allowing direct Bitcoin subscriptions alongside legal currency subscriptions. However, the Hong Kong Securities and Futures Commission remained unreachable for comment at the time of reporting.
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