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A financial services company located in Hong Kong recently revealed plans to apply for permission to create a spot Bitcoin ETF in China, part of a wave of innovations that have been seen throughout the country's cryptocurrency scene. If authorized, the nation will become the second major superpower to start trading Bitcoin ETFs, after the United States.
Notably, the financial company vying for the top slot in China's Bitcoin ETF is Venture Smart Financial Holdings Ltd. According to a report, the company recently submitted an application to the financial authority of the nation, causing quite a stir in the Chinese trading community.
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China ETF Market Gains Track With Bitcoin ETF
Given that market data indicates a massive increase in the popularity of spot Bitcoin ETFs since their launch, major players in the world are attempting to expand their trading platforms at the same time. In keeping with this, Hong Kong-based financial company VSFG intends to enter the ETF competition, boosting market confidence across the nation.
Notably, the company plans to apply as soon as possible to the Securities and Futures Commission (SFC) for the creation of a spot Bitcoin ETF. The regulatory body's most recent position on cryptocurrencies is in line with this; in December of last year, it released criteria for the first time for spot crypto fund approvals.
According to Brian Chan, global head of investments and products at the corporation, the financial solution has enormous potential. After that, the company wants to have $500 million in assets under management by the end of the year.
In addition, market charts that display the U.S. spot Bitcoin ETF trading data show that the volume has increased by 34% since yesterday, suggesting that the popularity is still rising. At the same time, VSFG seems to be preparing the country's first Bitcoin ETF launch, replicating the ETFs' recent surge in popularity.
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Hong Kong's View Regarding Crypto
Interestingly, three futures-based cryptocurrency exchange-traded funds
(ETFs) are presently allowed in Hong Kong. CSOP Ether Futures, Samsung
Bitcoin Futures, and CSOP Bitcoin Futures are these. These ETFs have
assets of $50 million in total, and they seem to be moving forward
steadily. However, Samsung Asset Management said that the company would
not completely rule out the prospect of releasing a spot ETF. On the other
hand, CSOP Asset Management remained silent.
The SFC, meanwhile, declared that the regulatory body only possessed the recommendations that were previously released in December. If anything, the SFC asserts that after the conventional approval procedure, the approval process could take several weeks or months.