Hong Kong spot Bitcoin ETF approval draws praise and caution from industry players

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Hong Kong spot Bitcoin and Ether ETFs were approved on April 15.

) exchange-traded funds in Hong Kong earlier this week represents a significant industry milestone for some experts. However, others warn that greater market forces, such as persistent inflation and geopolitical risk, could overshadow the bullish event.

“We are delighted to witness the historic moment of the launch of Asia’s first Bitcoin spot ETF and the world’s first Ethereum spot ETF,” said Livio Wang, chief operating officer of Hong Kong-based HashKey Group, in a statement. “This will serve as a significant milestone for traditional financial institutions in Hong Kong to enter the market and provide retail users with a more convenient purchasing gateway.

At the same time, Wang explained that, unlike U.S. spot Bitcoin ETFs, which were approved in January, Hong Kong spot Bitcoin ETFs have several unique features, such as subscription and redemption both via fiat money and via Bitcoin and stablecoins themselves.

"The primary trigger is the unexpected and persistent inflation. With the bond market now projecting less than three cuts and 10-year Treasury Yields surpassing 4.50%, we may have arrived at a crucial tipping point for risk assets." Bitcoin has lost nearly 20% of its value since achieving its all-time high of $73,750 apiece last month. On April 13, the digital asset took a nose-dive due toBitcoin bids stack above $60K as hopes of a BTC price rebound build

 

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