Violet Vallaya
China Southern Fund ($284 billion) is reportedly eyeing the launch of a Bitcoin Exchange-Traded Fund (ETF) via Hong Kong. This follows the approval of the first spot Bitcoin ETF by the U.S. Securities and Exchange Commission in January of the current year.
The move comes amid a sustained rally in cryptocurrency prices and Hong Kong’s intensified endeavors to establish itself as a global fintech hub. Industry insiders anticipate potential listings as early as the year’s second quarter.
According to reports, Harvest Fund Management ($230 billion assets under management), a leading Chinese asset management company, has already submitted a spot Bitcoin ETF application to the Hong Kong Securities and Futures Commission (SFC) via its Hong Kong subsidiary.
The application is currently awaiting approval from the securities regulator.
Harvest Fund Management’s Hong Kong division had previously launched futures crypto ETFs in December 2022, marking the debut of the first group of futures crypto ETFs in Asia.
The SFC authorized the public offering of virtual asset futures ETFs on October 31, 2022.
Other Chinese public equity funds are also reportedly considering applying for spot Bitcoin ETF products and are evaluating the potential outlook and feasibility of such ventures.
Hong Kong’s largest Bitcoin futures ETF, CSOP Bitcoin Futures ETF, has witnessed a five-fold increase in assets under management over the past five months, surpassing $100 million.
Southern Fund’s affiliate, Southern Dongying, has pioneered various product offerings in China’s public offering sector, including the QDII. It has made a significant breakthrough in the Bitcoin ETF market, setting a milestone in cryptocurrency investments.
