Hong Kong Bitcoin ETFs Closed to Mainland China Investors in Regulatory Move

Crypto News- Hong Kong’s recent green light for spot BTC and ETH ETFs, slated for launch by April 30, won’t extend to mainland Chinese investors, Bloomberg’s data analyst, Jack Wang, affirms.

Hong Kong Bitcoin ETFs Closed to Mainland China Investors in Regulatory Move

Despite close ties between ETF issuers like China Asset Management, Harvest Global Investments, and Bosera and mainland China, these offerings won’t provide access to Bitcoin or Ether for investors there.

“Mainland Chinese citizens will not be able to participate in this,” Wang disclosed during a recent Bloomberg webinar. He referenced a September 2021 statement from the Chinese State Council, barring financial institutions from facilitating crypto transactions.

Wang emphasized the unlikelihood of mainland Chinese investors engaging with these ETFs, given current regulatory constraints.

Regulatory Hopes: Thomas Zhu on Mainland Chinese Investor Eligibility for Hong Kong Crypto ETFs

Thomas Zhu, head of digital assets at China Asset Management, noted that the eligibility of mainland Chinese investors depends on future regulatory changes. He drew parallels with the Mainland-Hong Kong Stock Connect, which allows mainland investors to trade eligible Hong Kong stocks and ETFs.

However, despite anticipation surrounding Hong Kong’s ETF launch, Bloomberg analyst James Seyffart underscored the vast discrepancy in assets between U.S. and Hong Kong ETF markets. U.S. Bitcoin ETFs alone surpass the total assets of all ETFs in Hong Kong, signaling significant disparities in market size and influence.