- CSOP launched Bitcoin Futures ETF and Ethereum Futures ETF.
- The Securities Regulatory Commission told that qualified virtual asset future ETFs would be allowed to be sold publicly.
- The new move would help regulate the market by avoiding manipulation and illegal activities.
It has been reported that CSOP Management Co, Ltd, a property management company in Hong Kong, launched the first batch of virtual assets Exchange Trade Fund (ETF) including the CSOP Bitcoin Futures ETF (3066. HK) and CSOP Ethereum Futures ETF in Asia (3068. HK) on December 13.
Previously, in October, Hong Kong issued a policy statement on the development of Virtual Assets (VI), thereby strengthening the country’s insistence on empowering the crypto trade. By assuring the country’s vision for the country’s Virtual Asset Industry, Hong Kong’s Securities Regulatory Commission announced that the country would be allowed to trade qualified virtual asset futures ETFs publically.
Notably, ETFs are funding in cryptocurrencies that track the prices of one or more crypto coins. Thus, Hong Kong’s decision to promote ETFs contributed to proving the country’s enthusiasm for embracing financial innovation.
As per the reports, the virtual asset futures ETFs issued by CSOP is regulated by the Hong Kong Securities Regulatory Commission, “so as to help investors avoid market manipulation and other illegal activities”. Also, the new move would help reduce the inaccuracy and hassle of opening virtual asset wallets lacking transparency.
With the emergence of technology, more and more financial institutions and traders began investing in virtual asset transactions. It is to be noted that the leading cryptocurrencies like Bitcoin have entered the field, and have become one of the most important asset categories in the country.
Though Hong Kong was a leading crypto hub till 2021, the licensing regime introduced by the country restricted the service offerings to “professional investors”.