Hong Kong’s VSFG Set to Launch Inaugural Spot Bitcoin ETF Fund

Venture Smart Financial Holdings Limited, a financial service firm based in Hong Kong, has announced its plans to launch a spot Bitcoin ETF fund in the first quarter of the year. The company aims to reach $500 million in assets. Hong Kong is making efforts to establish itself as a digital asset hub, and if the SEC approves their application, it will become the second largest and most significant player in Bitcoin ETF trading.

The approval of spot Bitcoin ETFs has gained immense popularity worldwide, especially within the crypto space. Countries are closely watching the developments, and investors are eagerly awaiting this victory. Hong Kong already allows futures-based crypto ETFs, with three such ETFs listed: CSOP Bitcoin Futures, CSOP Ether Futures, and Samsung Bitcoin Futures. However, their combined assets are relatively modest at around $50 million.

Samsung Asset Management has stated that it does not rule out the possibility of exploring the launch of a spot ETF. The SFC has shown signs of support for this move, although it has not provided any further details beyond the guidelines published in December.

Aegis Custody is also in talks with four asset managers about listing spot crypto products in Hong Kong. However, the city’s regulatory requirements are expected to result in issuers charging higher fees compared to the low management costs of many new US spot Bitcoin ETFs.

According to Haskey’s Chief Officer, around ten fund companies in the country have already initiated the process of launching spot crypto ETFs.

Tags: Crypto news