Hong Kong Regulators to Consider Spot Crypto ETFs

The post Hong Kong Regulators to Consider Spot Crypto ETFs appeared first on Coinpedia Fintech News

Hong Kong’s securities and monetary regulators have announced that they are all set to accept and review applications for spot cryptocurrency exchange-traded funds (ETFs). This follows the evolution of the virtual asset landscape since 2018 when the Securities and Futures Commission (SFC) implemented a “professional-investors only” regulatory approach.

Hong Kong’s Shifting Stance on Crypto

Hong Kong has been gradually reducing its stance on cryptocurrencies this year. In April, the city’s de facto central bank, the Hong Kong Monetary Authority (HKMA), announced that it would allow licensed virtual asset service providers to operate in the city.

This move was followed by the SFC’s updated rulebook in October, which allowed retail investors to engage in spot crypto and ETF investing under certain conditions. In November, SFC CEO Julia Leung stated that the regulator would “welcome proposals for innovative technology that enhances efficiency and customer experience, provided any risks are addressed.”