Fri May 10, 2024 ▪
4
min reading ▪ acc
Bitcoin and Ethereum ETFs are preparing to enter the mainland Chinese market after taking a detour through Hong Kong. A financial windfall that could shake China, plagued by recurring economic crises. The success of the trackers since their launch in Hong Kong has already convinced many local players.
Hong Kong Bitcoin ETFs Set to Hit Mainland China!
The Bitcoin and Ethereum-backed ETF in Hong Kong, which launched on April 15, could invest billions of dollars in the crypto market. A prospect that attracts the attention of many Chinese, especially those who live outside the “Pearl of the Orient”.
The implications are huge. »
Richard Byworth, managing partner of SyzCapital, raised doubts by suggesting that Hong Kong-listed bitcoin ETFs could soon open up to mainland Chinese investors. His comments, reported on X and relayed by Mitrad, sparked speculation possible integration of these ETFs into the Stock Connect system. A perspective that could lead ka a massive influx of capital from mainland China towards these digital asset pools.
” I just got back from Hong Kong. There is talk of adding ETFs to the Stock Connect system. The implications are absolutely huge (basically this means mainland Chinese money can buy it) ‘ said Mr Byworth. These statements follow an exchange between Richard Byworth and Samson Mow, who welcomed the impressive performance of the ChinaAMC Bitcoin ETF, which raised $121 million on its first day of trading.
Brian Hoon-Jong Paik, co-founder and COO of SmashFi, discussed the financial and socio-economic motivations that could be driving mainland China’s interest in Hong Kong Bitcoin ETFs. he emphasized huge amount of Chinese wealth stuck in real estate and explained that several existing financial arrangements already facilitate a significant flow of capital from mainland China to Hong Kong markets. According to him, it isexclusion of BTC ETFs from these agreements could cause significant dissatisfaction and disrupt the investment landscape in both regions.
Other initiatives of the same kind
Han Tongli, CEO of Harvest, hinted that Bitcoin and Ethereum ETFs listed in Hong Kong could soon be accessible to investors in mainland China. At the Bitcoin Asia conference in Hong Kong, Han Tongli said he “doesn’t rule out” the possibility of including them in the Stock Connect system, reports the South China Morning Post.
This news caused excitement Bitcoin Asia Conference, where crypto ETFs were a hot topic. Han Tongli, CEO of Harvest, opened the door a new wave of investment from mainland China into Hong Kong Bitcoin and Ethereum ETFs.
A quick reminder: the Stock Connect system, which links the exchanges of mainland China and Hong Kong, would give Chinese investors direct access to these digital asset funds. This potential opening could open a new chapter for cryptocurrencies in mainland China, where cryptocurrency regulations are tighter.
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The blockchain and crypto revolution is in full swing! And on the day the effects are felt by the most vulnerable economy in this world, I will say against all hope that I had something to do with it
DISCLAIMER OF LIABILITY
The comments and opinions expressed in this article are solely those of the author and should not be considered investment advice. Before making any investment decision, do your own research.
