April 30 marks the official commencement of trading for Hong Kong’s approved Bitcoin and Ether ETFs.

Hong Kong has officially approved the first wave of spot Bitcoin and Ether exchange-traded funds (ETFs), with trading set to begin on April 30. The Securities and Futures Commission (SFC) declared the approval on April 24, including China Asset Management’s (ChinaAMC) Bitcoin and Ether-based ETFs. These ETFs will provide both retail and institutional investors with a regulated framework to invest in digital assets. Unlike the cash-creation model used by US spot Bitcoin ETFs, Hong Kong’s in-kind creation model allows for the creation of new ETF shares using BTC and ETH. This model could significantly increase assets under management and trading volume. The approval of the first ETFs in Hong Kong may lead to a fee war among issuers, as they compete to offer the lowest fees to customers.