On April 30, Hong Kong Exchanges and Clearing Limited welcomed the listing of the first batch of virtual asset spot ETFs in Asia, increasing the variety of products in the Hong Kong market and providing investors with more choices, and consolidating Hong Kong's position as the leading ETF market in Asia.
The first batch of virtual asset futures ETFs were favored by investors after listing in 2022, and trading was booming.
The average daily trading volume of the three virtual asset futures ETFs listed in Hong Kong increased from HK$8.9 million in 2023 to HK$51.3 million in the first quarter of 2024, while also attracting an inflow of HK$529 million.
Zhu Haokang, head of digital asset management and head of family wealth at Huaxia (Hong Kong), said that apart from Grayscale, the remaining 10 US Bitcoin spot ETF issuers reached 125 million US dollars on the first day of January 10 this year. The initial launch scale of the three issuers in Hong Kong will exceed this figure, and Huaxia Fund will be the largest of the three.
Analysts expect that the asset management scale of Hong Kong's spot Bitcoin and Ether ETFs is expected to reach 1 billion US dollars in the future, but whether this goal can be achieved may depend on the speed of infrastructure and ecosystem improvements.
The Hong Kong Virtual Asset Spot ETF involves related companies:
OSL Group (00863.HK): OSL Group (00863.HK) announced that OSL Digital Securities Limited (OSL), a digital asset trading platform with a license from the Hong Kong Securities and Futures Commission, has become the first virtual asset trading and virtual asset escrow partner of Huaxia Fund Hong Kong Limited, a leading Hong Kong asset management company. Huaxia (Hong Kong) is a leading asset management company in Hong Kong. This move supported the launch of the first batch of spot Bitcoin and Ether exchange-traded funds (Huaxia Spot ETFs) in Hong Kong. The Huaxia Spot ETF will be listed and traded on the main board of the Hong Kong Stock Exchange today.
Hong Kong Stock Exchange (00388): 2024Q1, the company's revenue and other earnings were HK$5.201 billion, down 6% from 2023Q1, but up 7% from 2023Q4. Among them, the main business revenue fell 7% year on year, reflecting a decrease in the average daily turnover resulting in a reduction in transaction and settlement fees, a decrease in net investment income from margin and clearing house funds, and a decrease in listing fee revenue. However, an increase in LME transaction and settlement fee revenue due to an increase in transaction volume and fees has partially offset the decline. Spot market transactions declined year-on-year in 2024Q1, but the derivatives and commodities markets and the Shanghai-Shenzhen-Hong Kong Stock Exchange showed strong performance. The Shanghai-Shenzhen-Hong Kong Stock Connect expanded the scope of shares. Since March 2023, more than 1,000 new stocks have been added to northbound trading, increasing the average daily turnover of Shanghai Stock Connect and Shenzhen Stock Connect by 37% year-on-year. In the first quarter of 2024, the Hong Kong Stock Exchange launched a self-transaction prevention (SMP) service, which allows market participants to avoid inadvertent self-transactions.