- Hong Kong-based BTC ETFs peaked past $250 million in AUM, marking a tremendous achievement for the crypto industry in the jurisdiction.
- The amounts managed by BTC ETFs in the US eclipse those in Hong Kong.
With crypto ETFs becoming an important narrative of the industry, those offered in the US make the news on a near-daily basis due to their popularity. Nevertheless, Hong Kong-based BTC ETFs are now breaking the news as they surpass $270 million in assets under management (AUM). While the funds were launched earlier this year, in April, it has taken more time for them to register considerable inflows than their BTC ETF counterparts in the US.
Hong Kong’s regulators have permitted three funds to operate thus far, including ETFs from China Asset Management, Harvest Asset Management, and Bosera Asset Management. While the first two asset managers offer their ETFs in partnership with crypto exchange OSL, the latter collaborates with another exchange, HashKey.
The ETFs provided by the three asset managers recorded inflows of 247 BTC last week, bringing their total holdings to 4,450 BTC. As the markets closed on August 23, that translated to about $272 million, over HK$2 billion, in fiat terms. The ChinaAMC BTC ETF alone holds $141.92 million (over HK$1 billion). The Bosera HashKey ETF manages just under $100 million, and the Hashkey ETF oversees $30.58 million.
BTC ETFs in the US Still Dominate
Presently, investors in Hong Kong possess a narrow range of options—three—compared to the 11 BTC ETFs offered in the US. Many wonder if the limited options are also why the net inflows into the city’s BTC ETFs are not as significant as those registered by the funds in the US, which amount to a whopping $58 billion.
Even the disparity behind the net inflows observed by the ETFs in the different jurisdictions was tremendous. Hong Kong-based ETFs registered tens of millions of dollars, while US-based ones saw billions. This highlights how the city must build investor interest to achieve its goal of becoming a massive crypto hub in Asia.