Benzinga - by Khyathi Dalal, Benzinga Staff Writer.
UBS (NYSE: UBS) announced an update for its wealthy clients.
What Happened: The bank's clients in Hong Kong — those with more than $2 million in investable assets — will be able to invest in cryptocurrency ETFs, Yahoo Finance reports.
The move is in alignment with China's steps toward adopting web3.
Benzinga’s Future of Digital Assets conference in New York on Nov.14. Attend and learn more about Hong Kong and its rapidly evolving crypto regulatory landscape. The gathering is seen as pivotal for the digital assets community. The event will spotlight the latest trends, innovations, and challenges in the digital asset realm.
Why It Matters: HSBC has also enabled clients in Hong Kong to trade crypto-linked ETFs. And SEBA Bank has received a license for its unit to provide crypto services in Hong Kong.
DBS Group plans to apply for a license to offer crypto to Hong Kong customers.
Separately, Bloomberg reported that three crypto ETFs authorized by the U.S. Securities and Exchange Commission will open doors to clients starting Nov. 10.
The clients will also have access to educational materials to understand risks better.
The ETFs are Samsung Bitcoin Futures Active, CSOP Bitcoin Futures, and CSOP Ether Futures ETFs.
Launched in December 2022, CSOP Bitcoin Futures and CSOP Ether Futures funds were billed as Asia’s first listed Bitcoin and Ether futures ETFs. All three ETFs report a relatively modest combined asset base of around $70 million.
Industry titans BlackRock, DTCC, OCC, State Street, Société Générale, Hedera, Citi, BMO, Northern Trust, Citibank, Amazon, S&P Global, Google, Invesco, and Moody’s will join our November 13 Fintech Deal Day and November 14 Future of Digital Assets. Secure a spot here to join them.
HongKong’s Digital Asset Regulation System
In June 2023, Hong Kong launched a digital-asset regulatory regime for protecting investors and developing the crypto hub. Hong Kong’s Securities and Futures Commission (SFC) allows investors to trade major tokens on licensed exchanges. Currently, it allows futures-based ETFs and is also looking to allow retail access to spot ETFs directly investing in cryptocurrency.
Also Read: Hong Kong's HashKey Exchange Lists This Top 20 Token For Professional Trading
The JPEX exchange is currently involved in a $166 million scandal amidst allegations over its operational and promotional strategies. The Hong Kong regulatory system is more alert after the scandal and is looking to address regulatory challenges.
UBS recently was picked as one of the six commercial banks to work with the Swiss National Bank (SNB) on a wholesale central bank digital currency (CBDC) pilot.
Read Next: US Crackdown On Crypto Boosts Asian Blockchain Ventures: Hong Kong VC Unveils $100M Titan Fund
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