In Hong Kong, the SFC has imposed limits on virtual asset funds regarding token investments through licensed VATPs, emphasizing a more structured market approach.
In Brief
Authorized funds in the virtual asset sector by the SFC are mandated to execute their investment strategies solely via regulated trading platforms for virtual asset tokens.
The Hong Kong Securities and Futures Commission has rolled out a revised 'Joint Circular on Virtual Asset-related Activities of Intermediaries,' clarifying that SFC-authorized funds can invest in VA tokens through licensed VATPs. SFC Companies managing these funds need to show impeccable compliance records and ensure they have at least one team member with qualified expertise in virtual assets or similar sectors.
Recently approved spot virtual asset ETFs permit both physical and cash transactions, with the stipulation that their major stakeholders are corporations or recognized institutions meeting additional regulatory criteria.
In a recent announcement, the SFC and Hong Kong Monetary Authority (HKMA) expressed their plan to start accepting applications for cryptocurrency and VA spot ETFs. The SFC also outlined the eligibility criteria for funds looking to invest in spot VA tokens available for trade on licensed VATPs accessible to the public in Hong Kong. SFC Hong Kong continues to assert itself as a premier destination for digital assets in the Asia-Pacific area, with regulators adopting a forward-thinking approach towards cryptocurrencies. SFC-licensed The city has introduced various future-based cryptocurrency ETFs, which include the Samsung Bitcoin Futures Active ETF, CSOP Bitcoin Futures ETF, and CSOP Ether Futures ETF, among others.
Hong Kong Welcomes ETFs Applications
With the latest guidelines from the SFC, Hong Kong demonstrates its supportive regulatory environment for virtual assets. The joint efforts by the SFC and HKMA to facilitate cryptocurrency ETFs and VA spot ETFs further amplify Hong Kong's commitment to innovation in the global digital asset space. announced It's crucial to bear in mind that the content shared here is not meant to be construed as legal, financial, or investment advice. Make sure to invest only amounts you can afford to lose, and don’t hesitate to reach out for independent financial guidance if needed. For more details, please review the issuer's terms and support documentation. At MetaversePost, we strive for accurate and unbiased journalism, but market dynamics can shift unexpectedly.
Hong Kong Alisa, a passionate journalist with MetaversePost, focuses her reporting on the realms of cryptocurrency, zero-knowledge proofs, investments, and Web3 developments. With her adept insight into emerging technologies and trends, she provides readers with in-depth coverage that keeps them informed in the rapidly changing landscape of digital finance.
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