Over the past five years, Bitcoin Summit has become the world's largest gathering of cryptocurrency enthusiasts. Every year, cryptocurrency community members from all over the world gather together to share their latest insights and innovations in the field of Bitcoin and blockchain.
According to the latest news on the official website, this year's Bitcoin Summit will be held at the Kai Tak Cruise Terminal in Hong Kong, which provides greater opportunities for Hong Kong to become a global trading hub.
In recent years, the virtual asset market has shown a booming trend, attracting more and more investors' attention. After the US Securities and Exchange Commission approved the Bitcoin spot ETF, Wu Jiezhuang tweeted: "This is an important move for the virtual asset market, attracting more traditional investors and funds to participate in virtual asset investment. ... I think Hong Kong should also dare to be a 'leader' in the virtual asset field and promote the development of the entire industry through innovative policies."
He proposed that Hong Kong will launch two important actions: "First, Hong Kong will accelerate the implementation of spot ETFs. The Securities and Futures Commission has previously stated that it is ready to accept Bitcoin spot ETFs. I hope that Hong Kong will accelerate its ability to seize a place in the world as virtual assets develop rapidly and become highly competitive. This is to be the first in Asia to apply for the implementation of relevant policies and products, and consolidate Hong Kong's opportunity to become a global center for virtual assets."
In fact, Hong Kong currently allows futures-based cryptocurrency ETFs, and there are currently three listed, namely CSOP Bitcoin Futures, CSOP Ethereum Futures and Samsung Bitcoin Futures. Their total assets are relatively small, about $50 million. Samsung Asset Management said it would not rule out the possibility of exploring the launch of spot ETFs.
As early as December 22 last year, the official website of the Hong Kong Securities and Futures Commission published the "Notice on Funds Involving Virtual Assets Approved by the Securities and Futures Commission", officially announcing that it was ready to accept applications for spot virtual asset ETFs, and clearly stated that for virtual assets that are allowed to be traded on licensed trading platforms (such as Bitcoin, Ethereum), licensed institutions can issue and manage corresponding spot ETFs, and subscribe and redeem in kind and cash on licensed trading platforms or recognized financial institutions.
Robin Lo, Head of Securities Product Development at HKEX, said that the SFC's announcement means that Hong Kong will become the first market in Asia to allow the listing of virtual asset spot ETFs, strengthening Hong Kong's position as a leading digital asset center in the region and supporting Hong Kong's continued development as Asia's preferred ETF market. HKEX is ready to seize the opportunities brought by thematic investment and will work closely with issuers and stakeholders to smoothly introduce such new products to the Hong Kong ETF market. It is also committed to further enhancing Hong Kong's attractiveness and competitiveness as an international financial center and bringing more diversified choices to the market and investors.
Good news soon came. On January 19, VSFG, a Hong Kong financial services company, said it plans to submit an application to the Hong Kong Securities and Futures Commission to launch a spot Bitcoin ETF this quarter. Brian Chan, head of the company's investment and product group, said this is a market with huge potential and its goal is to manage assets of US$500 million by the end of this year.
The latest data shows that Hong Kong investors are increasingly pursuing virtual assets. According to the latest survey by the Hong Kong Investors and Financial Education Council (IC), 96% of retail investors have invested in stocks, 24% have invested in funds, and 18% have invested in bonds in the past year. Among them, 8% invest in virtual assets and related products, compared with 1% in 2019 and 6% in 2021, the upward trend is obvious. The survey pointed out that working young people aged 18 to 29 are more interested in virtual assets. 23% of the respondents said they had invested in virtual assets and related products in the past year, a significant increase from 12% in 2021.
The approval of the Bitcoin spot ETF will enable more institutional and individual investors to conveniently participate in the Bitcoin market, improve market liquidity and activity, and further promote the development of the virtual asset industry. At the same time, this will also enhance Hong Kong's status and influence as an international financial center and attract more innovation and capital to enter Hong Kong's virtual asset market.
Summarize
Driven by policy support and technological innovation, Hong Kong's virtual asset market is gradually maturing, with its market size and influence expanding. At the same time, with the improvement of regulatory policies and the strengthening of investor education, market risks will be effectively controlled, providing investors with a safer and more transparent investment environment. In the future, Hong Kong is expected to become an important hub for global virtual asset transactions.
