Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
Home»ADOPTION NEWS»OSL Executive Says Hong Kong Crypto ETF Faces Systemic Market Obstacles
ADOPTION NEWS

OSL Executive Says Hong Kong Crypto ETF Faces Systemic Market Obstacles

By Crypto FlexsAugust 11, 20243 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
OSL Executive Says Hong Kong Crypto ETF Faces Systemic Market Obstacles
Share
Facebook Twitter LinkedIn Pinterest Email

Gary Tiu, executive director and head of regulatory affairs at Hong Kong-based crypto spot exchange OSL, said in a panel discussion at the Foresight 2024 conference on Sunday that crypto spot exchange-listed funds (ETFs) in Hong Kong face systemic hurdles due to a lack of incentives for ETFs in the market overall.

“So in Hong Kong, especially for funds and structured products, there is usually a very rich layer of intermediaries between the issuer and the end investor: brokers, banks, private banks, retail banks,” Tiu said. “These intermediaries are making a lot of money by distributing financial products.”

Thiew said this has led to Hong Kong markets preferring unlisted products, while ETFs allow anyone to execute trades in the market. As such, ETFs offer little incentive for brokers to charge a few basis points of commission, which is about 1% to 2% of the commission earned from selling structured products. Thiew said.

“So I think Hong Kong’s incentive system is one of the reasons why ETFs have had a hard time growing as a financial product,” said the OSL director.

Moreover, Thieu said Hong Kong still has a negative bias towards Bitcoin, Ether and cryptocurrencies.

“I think there’s still a bit of a bias in the eyes of regulators and financial institutions that Bitcoin ETFs are a unique type of risk that they need to be particularly careful about,” Tiu said.

Chen Zhao, digital assets director at Fosun Wealth, added that Hong Kong crypto ETFs also lack dealers and brokers. There are three main categories of market participants in Hong Kong: Western institutions, China-based institutions, and Hong Kong-based institutions.

“Chinese brokers and dealers either cannot or choose not to trade commodities,” Zhao said. “And for Western financial institutions, they don’t need to trade commodities because they get more commissions and incentives and have easier access to U.S. ETFs.”

According to Zhao, the remaining Hong Kong participants are “very small” in size compared to the two major groups of participants, which poses a significant constraint on the growth of Hong Kong crypto ETFs.

According to data According to SoSoValue, the Hong Kong spot bitcoin and ether ETF has a total net asset value of about $310 million since April 30, with a daily trading volume of about $2.8 million. However, unlike the US crypto ETF, the Hong Kong spot crypto fund allows investors to purchase the ETF through spot subscriptions of physical BTC, which are not considered cash inflows, SoSoValue said.

Disclaimer: The Block is a wholly owned subsidiary of Foresight Ventures. Foresight 2024 is hosted by Foresight Ventures, Foresight News and The Block and sponsored by OSL.


Disclaimer: The Block is an independent media outlet providing news, research and data. As of November 2023, Foresight Ventures is the largest investor in The Block. Foresight Ventures invests in other companies in the cryptocurrency space. Cryptocurrency exchange Bitget is an anchor LP of Foresight Ventures. The Block continues to operate independently to provide objective, impactful and timely information on the cryptocurrency industry. Below are the current financial disclosures.

© 2024 The Block. All rights reserved. This article is provided for informational purposes only. It is not provided or intended to be legal, tax, investment, financial or other advice.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Vortex uses NVIDIA Jetson to innovate medical imaging with CT-similar ultrasound.

June 6, 2025

Sei Development Foundation: Use of US Innovation for Global Block Chain

June 6, 2025

Solana’s Journey: Promotion of Challenge, Innovation and Speed

June 6, 2025
Add A Comment

Comments are closed.

Recent Posts

Musk & Trump SPAT sends trenches from DOGE Price Crumbling, Tesla.

June 6, 2025

Musk & Trump SPAT sends trenches from DOGE Price Crumbling, Tesla.

June 6, 2025

Vortex uses NVIDIA Jetson to innovate medical imaging with CT-similar ultrasound.

June 6, 2025

2025 Best Free Cloud Mining

June 6, 2025

Sei Development Foundation: Use of US Innovation for Global Block Chain

June 6, 2025

Analyst Michaël Van de Poppe says Bitcoin is getting higher.

June 6, 2025

Does Ethereum start their business? MorningStar Candlestick Pattern tells the story

June 6, 2025

Solana’s Journey: Promotion of Challenge, Innovation and Speed

June 6, 2025

Ether Leeum’s imminent brake out in major chart patterns

June 6, 2025

Bittensor increases rapidly after 118 subnets in the $ 1,000 TAO price guess.

June 6, 2025

Bitcoin’s $ 100k drop in caught many merchants for many merchants.

June 6, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

Musk & Trump SPAT sends trenches from DOGE Price Crumbling, Tesla.

June 6, 2025

Musk & Trump SPAT sends trenches from DOGE Price Crumbling, Tesla.

June 6, 2025

Vortex uses NVIDIA Jetson to innovate medical imaging with CT-similar ultrasound.

June 6, 2025
Most Popular

Montenegro’s Justice Minister signs Do Kwon’s extradition to the United States

December 28, 2024

Top Selling NFTs of the Week – Boring Ape and Chubby Penguin Take Top Spots

February 24, 2024

Meta FAIR unveils new AI research model and dataset

June 19, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.