Samsung Launches Bitcoin Futures ETF

Samsung Launches Bitcoin Futures ETF

On January 13, Samsung Asset Management's bitcoin futures ETF (exchange-traded fund) will begin trading on the Hong Kong Stock Exchange

The Chicago Mercantile Exchange (CME) is the venue for the investments of the Samsung Bitcoin Futures Active exchange-traded fund (CME). It is anticipated that returns will be comparable to those of spot Bitcoin.

Most of the Bitcoin futures ETF investments will be in CME Bitcoin Futures, with the remainder split between CME Micro-Bitcoin Futures, as reported by a local Korean news outlet. Hong Kong-based Samsung Asset Management head Park Seong-jin made the following statement:

"Hong Kong is the only market in Asia where bitcoin futures ETFs are listed and traded in the institutional market. It will be a new option for investors who are interested in Bitcoin as a competitive product that reflects their experience in risk management."
Samsung Launches Bitcoin Futures ETF

Hong Kong's government is making moves to make the city a center for the cryptocurrency industry. In its current state, it is attempting to entice cryptocurrency businesses to open shop locally and register with the appropriate financial authorities.

In addition, financial Secretary Paul Chan announced this week at the Hong Kong Web3 Innovator Summit that the legislation establishing a licensing system for virtual asset service providers has been enacted.

As a result, Bitcoin's price has risen above $18,000 in the last 24 hours, indicating rising optimism among investors. Eventually, the rest of the cryptocurrency market began to show similar improvements.

BTC price in the daily chart | Chart:
BTC price in the daily chart | Chart:

The Hong Kong-based exchange-traded fund (ETF) was initially funded by a public offering led by Samsung Asset Management, which raised $12 million from investors.

Nonetheless, Samsung's head of exchange-traded fund distribution in Hong Kong, Terrence Ling, claims that blockchain technology's broad applicability is limited to digital currencies like bitcoin. With this in mind, the company forecasts that the percentage of people using this technology will increase from its current 1% to 80% worldwide by 2025. Furthermore, Hong Kong is the only place where BTC future exchange-traded funds are managed and listed on institutional markets, according to Park Seong-jin, head of Samsung Asset Management in Hong Kong.

Therefore, BTC ETFs present an innovative option for institutional and individual investors to ride the wave of crypto mania with exposure tailored to their risk tolerances.

Disclaimer: Nothing on this site should be construed as a financial investment recommendation. It’s important to understand that investing is a high-risk activity. Investments expose money to potential loss.



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