HSBC Offers Crypto ETFs for Clients in Hong Kong: Report
HSBC, the banking giant managing nearly $3 trillion in assets, has reportedly allowed its customers to buy Bitcoin and Ethereum exchange-traded funds (ETFs) listed on the Hong Kong stock exchange. The decision comes amid a broader crypto ETF mania triggered by BlackRock earlier this month.
HSBC Becomes the First Bank to Allow Users to Buy Crypto ETFs in Hong Kong
European banking giant HSBC has reportedly enabled its customers in Hong Kong to buy and sell Bitcoin and Ethereum ETFs, marking the latest traditional finance (TradFi) firm to embrace the crypto ETF trend.
According to cryptocurrency reporter Colin Wu, HSBC will list Bitcoin and Ethereum ETFs on the Hong Kong stock exchange (HKEX). Currently, only three crypto ETFs are available for trading on HKEX, including CSOP Ethereum Futures ETF and Samsung Bitcoin Futures Active ETF, and CSOP Bitcoin Futures ETF.
SCOOP: HSBC, the largest bank in Hong Kong, today allows its customers to buy and sell Bitcoin and Ethereum ETFs listed on the Hong Kong exchange, and is also the first bank in Hong Kong to allow it. The move will expand local users’ exposure to cryptocurrencies in Hong Kong. pic.twitter.com/vH0LieSVGw
— Wu Blockchain (@WuBlockchain) June 26, 2023
With the move, HSBC will become the first bank in Hong Kong to allow crypto ETF trading. In addition to being the largest international bank operating in the special administrative region, HSBC is the largest lender in Europe. In 2022, the bank’s total assets exceeded $2.96 trillion.
HSBC Joins the Crypto ETF Party
Given the bank’s broad footprint and strong user base, HSBC’s support for Bitcoin and Ethereum ETFs could notably expand local customers’ exposure to crypto assets in Hong Kong. HSBC’s Hong Kong arm had 1.7 million active mobile customers as of March 2022.
The move highlights the growing momentum in institutional crypto adoption. Notably, on June 15, BlackRock, the biggest asset management firm in the world, filed with the Securities and Exchange Commission (SEC) to roll out a spot Bitcoin ETF in the US.
In just several days, numerous TradFi institutions followed suit, including WisdomTree, Invesco, and Valkyrie. These developments led to a significant increase in optimism among crypto investors, lifting Bitcoin’s price above the $30,000 level for the first time since April.
From a broader perspective, HSBC’s foray into crypto ETFs could further advance Hong Kong’s ambitions to become a Web3 hub in the region. The city said it was working on a comprehensive regulatory regime for digital assets in 2022, requiring crypto-related firms that wish to operate in the city to obtain a mandatory license. On June 1, Hong Kong regulators opened the application process.
This article originally appeared on The Tokenist
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