Bitcoin and Ethereum ETFs are preparing to enter the mainland Chinese market, after taking a detour through Hong Kong. A financial windfall that could well shake up a 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 ready to hit mainland China!
Launched on April 15, ETFs backed by Bitcoin and Ethereum in Hong Kong could inject billions of dollars into the crypto market. A prospect that attracts the attention of many Chinese, especially those living outside the “Pearl of the Orient”.
The implications are enormous. »
Richard Byworth, managing partner of SyzCapital, has sowed doubt by suggesting that Hong Kong-listed Bitcoin ETFs could soon open up to mainland Chinese investors. His remarks, reported on X, and relayed by Mitradearoused speculation as to a possible integration of these ETFs into the Stock Connect system. A perspective that could give rise to a massive influx of capital from mainland China towards these digital asset funds.
“ I just came back from Hong Kong. There is talk of the ETF being added to the Stock Connect system. The implications are absolutely huge (basically, that means mainland China 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, having raised $121 million on its first day of trading.
Brian Hoon-Jong Paik, co-founder and COO of SmashFi, spoke about the financial and socio-economic motivations that could drive mainland Chinese interest in Hong Kong Bitcoin ETFs. He emphasized the vast amount of Chinese wealth stuck in real estate and explained that several existing financial agreements already facilitate a significant flow of capital from mainland China to Hong Kong markets. According to him, theexclusion of BTC ETFs of these agreements could cause significant dissatisfaction and disrupt the investment landscape in both regions.
Other initiatives of the same ilk
For his part, 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 was “not ruling out” the possibility of including them in the Stock Connect system, reports South China Morning Post.
This news created an excitement at the Bitcoin Asia conference, where crypto ETFs have been a hot topic. Han Tongli, CEO of Harvest, opened the door to a new wave of investments from mainland China to Hong Kong Bitcoin and Ethereum ETFs.
Small reminder: the Stock Connect system, which links the stock exchanges of mainland China and Hong Kong, would allow Chinese investors to directly access these digital asset funds. This potential opening could open a new chapter for cryptocurrencies in mainland China, where regulations on cryptocurrencies are stricter.
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