Key Points
- Hong Kong’s recent approval of six Bitcoin and Ether ETFs has attracted attention from investors.
- Despite mainland China’s crypto ban, the conference attracted a significant number of attendees from the region.
The Bitcoin Asia conference, organized by Bitcoin Magazine from May 9-10, attracted over 5,500 attendees to Hong Kong this year. The event also featured numerous speakers and sponsors.
Hong Kong: A Crypto Hub
Hong Kong’s recent crypto-friendly moves, such as hosting Web3 events and approving the first six spot Bitcoin and Ether ETFs in Asia, have caught the attention of investors. As a special administrative region of China, Hong Kong can set its own policies. Some investors interpret the city’s ETF approvals as an indirect endorsement of crypto from mainland China.
David Bailey, co-founder of Bitcoin Magazine and the conference’s organizer, estimated that half of the attendees were from mainland China. This suggests a desire to strengthen ties between Hong Kong’s crypto economy and the mainland, despite China’s crypto ban in 2021.
ETFs: A Tacit Admission
Bailey stated that the approval of the ETFs seemed to indicate that Bitcoin is here to stay. He also praised the in-kind subscriptions, which allow the purchase of Hong Kong’s ETFs with Bitcoin and Ether, describing the feature as “very important”. While investors outside of Hong Kong can buy the ETFs, mainland China residents are still prohibited from purchasing shares.
According to data from SoSoValue, the AUM of Hong Kong’s spot Bitcoin ETFs is just under $200 million, while its spot Ether ETFs have an AUM of approximately $28 million.
