Spot Crypto ETF Applications Will Be Considered, Hong Kong Regulators Say
Hong Kong regulators are open to considering applications for spot crypto exchange-traded funds (ETFs). The Securities and Futures Commission (SFC) and Hong Kong Monetary Authority (HKMA) have noted the changing virtual asset environment since 2018, when a "professional-investors only" regulatory approach was adopted. This year, Hong Kong has been easing its stance on crypto, with the SFC updating its rules in October to allow a wider range of investors to engage in spot-crypto and ETF investing. Last month, SFC CEO Julia Leung stated that the regulator was moving towards allowing retail investors to buy spot crypto ETFs. The SFC is now prepared to accept applications for other funds with exposure to virtual assets, including virtual asset spot ETFs. This comes amid speculation that the U.S. Securities and Exchange Commission may approve a spot bitcoin ETF early next year.
