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Harvest Fund files spot bitcoin ETF application in Hong Kong: report

Harvest Fund files spot bitcoin ETF application in Hong Kong: report

The BlockThe Block2024/01/29 06:04
By:Timmy Shen

The Hong Kong arm of a major Chinese asset manager applied for such an ETF on Jan. 26, Tencent News reported today.Harvest, RD Technologies and VSFG are also in talks with the Hong Kong Monetary Authority about potential stablecoin trials, according to Bloomberg.

Harvest Fund files spot bitcoin ETF application in Hong Kong: report image 0

The Hong Kong arm of Harvest Fund Management, a major Chinese asset manager, reportedly submitted an application for a spot bitcoin exchange-traded fund (ETF) on Friday to the local financial regulator, as Hong Kong appears to get ready for its first batch of spot cryptocurrency ETFs soon.

Tencent News reported today that Harvest has submitted its application for a spot Bitcoin ETF to the Securities and Futures Commission, hoping to launch the city's first such ETF after the Lunar New Year holiday, which falls on Feb. 10 this year.

Harvest and the SFC did not immediately respond to The Block’s request for comment.

Earlier this month, Livio Weng, chief operating officer of Hong Kong crypto exchange HashKey, said that around 10 fund companies have started looking into launching potential spot crypto ETFs in the city.

Hong Kong-based Venture Smart Financial Holdings Ltd. (VSFG) said it aims to launch its spot bitcoin ETF within the first quarter, according to Bloomberg .

Growing interest in stablecoins

Meanwhile, with Hong Kong stepping up efforts to push for stablecoin rules , several companies — including Harvest Global Investments, RD Technologies and VSFG — have shown interest in stablecoin-related trials, Bloomberg reported today.

These firms are in discussions with the Hong Kong Monetary Authority, the city’s de facto central bank, about potential stablecoin trials, according to the report, citing sources familiar with the matter.

The companies and the HKMA have yet to respond to The Block’s inquiries.

In December, the HKMA said in a joint consultation paper with the Financial Services and the Treasury Bureau that a stablecoin issuer would be required to obtain a license from the authorities “if it issues a stablecoin that references the value of one or more fiat currencies in Hong Kong.”

Eddie Yue, chief executive of the HKMA, said at the time that stablecoins could “become the interface between traditional finance and the virtual asset market.”

“In a scenario where stablecoins become one of the preferred payment options by the general public, we should reasonably expect further integration between the digital payment ecosystem and the real economy, and whether the stablecoin is indeed ‘stable’ will then become ever more important,” Yue said in a December statement


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