Hong Kong’s finance minister said the spot subscription and redemption functions of the city’s six spot cryptocurrency exchange-traded funds provide more flexibility for investors as the city continues its efforts to become a regional cryptocurrency hub.
Financial Services and Finance Minister Christopher Hui touted Hong Kong’s web3 policy during a visit to several European forums last week in a blog post published on Tuesday, adding that the government has implemented a series of regulations on cryptocurrencies and tokenization. Yes. .
“In terms of product innovation, the first of six virtual asset spot ETFs in Asia was listed in Hong Kong last April. In particular, Hong Kong has pioneered an in-kind redemption mechanism that provides investors with greater flexibility when subscribing to and redeeming virtual asset ETF units,” Hui said.
However, the performance of the Hong Kong spot cryptocurrency ETF appears to be minimal compared to its performance in the United States.
According to The Block’s data dashboard, three Hong Kong spot Bitcoin ETFs recorded a total daily volume of $6.67 million on Tuesday, after hitting $2.35 million on Friday and $6.08 million on Thursday. Monday was a public holiday in Hong Kong. By comparison, 11 spot Bitcoin ETFs in the U.S. recorded total trading volume of $1.1 billion on Monday, following $2.51 billion on Friday.
Animoca Brands Chairman Yat Siu told The Block last week that Hong Kong regulators and industry officials are discussing the possibility of including staking in a spot ether ETF that could serve as a “competitive advantage.” “In terms of how quickly it will happen, there is some optimism that we hope it will happen within this year,” Siu added.
Finance Minister Hui said in a post that the government issued its second multi-currency tokenized bond earlier this year, totaling $770 million. “Represents the world’s first digitally native multi-currency government green bond.”
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