Hong Kong’s Securities and Futures Commission (SFC) is reportedly close to approving a spot Bitcoin ETF, following the US SEC’s approval of a similar product. Four mainland Chinese and Hong Kong asset managers, including Harvest Fund Management, have submitted applications for the ETF. Bloomberg reported that Harvest Fund Management is expected to receive approval from the SFC to launch the ETF as early as this month. Other asset managers, such as China Asset Management and Bosera Asset Management, have also expressed their interest in exploring the possibility of launching a spot Bitcoin ETF. The approval of the ETF could have a significant impact on the crypto industry, attracting fresh global investment and driving crypto adoption. Despite attempts to obtain more information, the SFC and the Chinese companies declined to comment. However, Adrian Wang, CEO of Metalpha, a Hong Kong-based crypto wealth manager, commented on the potential impact of the ETF approval on the overall crypto industry. The approval could also allow China Asset Management and Harvest Fund Management’s Hong Kong units to manage portfolios with more than 10% allocation to virtual assets. The potential approval of a spot Bitcoin ETF in Hong Kong is seen as one of the most significant market-moving events this year. The number of crypto users in Hong Kong is expected to reach 1.68 million by 2028, indicating the potential for accelerated crypto adoption and billions of dollars flowing into the market. Local investors in China have shown a strong interest in gold ETFs, and the approval of Bitcoin ETFs could generate similar enthusiasm. At the time of writing, Bitcoin was trading at $67,280, experiencing a decline of 5% in the last 24 hours and 8% in the last 30 days.
