Hong Kong Sees Rapid Growth in Virtual Asset ETFs

Hong Kong’s crypto investment market is picking up pace. In its latest quarterly report, the SFC shared that the total value of virtual asset spot ETFs has climbed to around 920 million dollars, marking a sharp increase since these products were first launched.

Tokenized money market funds are also growing fast. The combined asset size of five such funds has reached roughly 5.4 billion Hong Kong dollars, showing strong interest in tokenized financial products. This kind of growth is suggests more traditional investors are starting to get comfortable with the on-chain assets through the regulated structures.

The regulator also confirmed that the stamp duty exemptions apply to tokenized the ETFs, which should help to improve trading activity in the secondary market. At the same time, Hong Kong continues to expand its licensing framework also with more virtual asset platforms already approved and others still under review.