"Damn, somehow Hong Kong will first approve spot crypto ETFs from the US."
After a long time, Hong Kong's regulator seems to be beginning to show its willingness to consider spot applications for cryptocurrency exchange-traded funds (ETFs) that have become increasingly popular.
According to the Securities and Futures Commission (SFC) and the Hong Kong Monetary Authority (HKMA), the virtual asset environment has changed since 2018 when the SFC formulated a professional investment-only regulatory approach.
In addition to changes in regulators' views on retail exposure to digital assets, Hong Kong has reportedly moved quickly to loosen its approach to crypto this year.
Pleased to be informed that the SFC in October 2023 updated its rulebook to allow more investors to engage in crypto ETF spot investment.
Not only that, the Chief Executive Officer (CEO) also said that the regulator is moving towards allowing retail investors to buy spot crypto ETFs.
While they also welcome proposals to apply innovative technologies that improve efficiency including user experience provided that any risks are always addressed.
The now fast-growing virtual asset landscape is in the process of becoming mainstream finance, the two regulators commented, adding that the SFC is ready to accept applications for the authorization of other funds such as virtual asset spot ETFs.
