Hong Kong approves BTC and ETH spot ETFS, India’s Web3 sector praises the decision

In a rather pro-crypto move, Hong Kong has given the green light to trading in Bitcoin and Ethereum spot exchange-traded funds (ETFs). With this move, traders in Hong Kong will have the opportunity to invest in Bitcoin and Ethereum through the traditional stock market. This eliminates the need for traders to enter the cryptocurrency exchange ecosystem just to participate in assets such as BTC and ETH. As the situation unfolded, several members of the Indian cryptocurrency community praised Hong Kong’s “landmark” decision.

The Hong Kong subsidiary of Bosera Asset Management and China Asset Management have received regulatory approval to offer Bitcoin and Ethereum spot ETFs. One person said the final approval was signed off by the Hong Kong Securities and Futures Commission (SFC). Report Published by Nikkei Asia on Monday, April 14. Spot ETFs track the current price of the commodity and allow traders to gain exposure to the current price of BTC without buying and holding the asset.

Hong Kong is now the first region in Asia to legalize cryptocurrencies as a significant investment vehicle. The move will also reduce traders’ reliance on U.S. investment services products.

With this move, Hong Kong becomes the second location in the world to allow traders to participate in cryptocurrency ETFs. In January this year, the United States approved 11 BTC ETFs, marking a historic development for the crypto industry. According to reports, the US-listed ETF’s stock trading volume reached $4.6 billion (approximately Rs. 38,065 crore) in the first 24 hours.

Total U.S. BTC ETF inflows as of March 31 It is said Crossing the $12 billion mark (approximately Rs. 1,04,298 crore)–a sign of investor interest. The ETH ETF is still not approved in the United States.

In India, Web3 community members praised Hong Kong for setting a precedent for other Asian countries to expand experimentation and experimentation with crypto assets.

“China’s real estate and stock markets have been under pressure since the outbreak and have yet to recover. Local wealth is looking for other assets to deploy, as evidenced by record gold demand from investors,” Parth Chaturvedi, head of investments at CoinSwitch Ventures, told Gadgets360. “The approval of the ETF will provide new avenues for Chinese capital to explore investing in cryptocurrencies as an asset class and bodes well for the industry in the medium term. “

X also praised Hong Kong’s decision.

In March this year, cryptocurrency investment company Mudrex launched spot BTC ETF investment services for Indian traders. The minimum amount for one to start investing in BTC ETF on Mudrex is $5,000 (approximately Rs. 4.13 lakh), while the maximum amount may be $250,000 (approximately Rs. 2 crore).