This is unprecedented, the Hong Kong bank HSBC launches a service for buying and sellingCrypto ETFs. She becomes the first bank to offer this type of service in Hong Kong.
Bitcoin and Ethereum ETFs
In a tweet posted today, the Chinese crypto journalist Wu Blockchain reported the launch of a new financial department at HSBC Hong Kong. The largest bank in the independent Chinese territory will soon allow its customers to buy and sell Crypto ETFs.
HSBC will allow its customers to invest in crypto ETFs (Exchange-Traded Funds), i.e. investment funds traded on the stock exchange following the index specific to Bitcoin or Ethereum in this case, and expected to generate the same return as these two assets.
The Hong Kong firm that owns 2.9 trillion dollars under managementand which is placed at 8th in the world in the ranking of bankswill allow its customers to buy and sell Bitcoin and Ethereum ETFs listed on the Hong Kong Stock Exchange. These are 3 in number, we find the CSOP Bitcoin Futures ETF, the CSOP Ethereum Futures ETF and finally the Samsung Bitcoin Futures Active ETF.
At the same time, HSBC launched a ‘Virtual Asset Investor Training Center” within the HSBC HK Easy Invest, HSB CHK Mobile Banking applications and its online banking services. Before investing in products related to virtual assets, investors must read and confirm the formations and information on the risks of digital assets
Will Hong Kong become a hub for digital assets?
While the UNITED STATES and the Securities and Exchange Commission (SEC) seem to be waging a war against the crypto universe and its giants like Coinbase, Binance.US or even RippleHong Kong, on the contrary, seems to be making every effort to welcome industry to its territory.
This was seen recently with the announcement of the new licensing regime for cryptocurrency exchange platforms. On June 10, Johnny Ng Kit-chongan active politician and member of the Legislative Council of Hong Kong, even proposed “towelcome all global virtual asset trading operatorsincluding Coinbase, coming to Hong Kong;”
In addition to making itself attractive to the giants of the cryptocurrency world, the independent Chinese territory seeks to develop a clear and precise regulatory framework on the subject. For example, the Hong Kong Monetary Authority (HKMA) – in French, the Hong Kong Monetary Authority – has plans to establish a legal framework around stablecoins by the end of 2024.
If Hong Kong first seems to want to convince institutions and major players in the ecosystem to settle in their territory, this latest announcement from HSBC could also attract retails (individuals) in the crypto ecosystem. With more1.7 million active users on its mobile applications, HSBC could make a splash with these ETFs and contribute to a democratization of cryptocurrency from the bottom.
Hong Kong seems very enthusiastic about cryptocurrencies and digital assets. If it continues on this path, the independent territory could quickly become a major place of the crypto ecosystem.
Source : WuBlockchain