Crypto Tracking ETF For Retail Traders | Track With Ease!

Crypto Tracking ETF For Retail Traders

Huobi tech has planned to widen its reach in Hong Kong. Huobi Tech will soon launch a crypto tracking ETF for retail traders. It has decided to provide retail investors a chance to participate in Bitcoin safely with the introduction of a cryptocurrency tracking investment fund. The company has already submitted the proposal to the Securities and Futures Commission of Hong Kong.

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The move has come up with the city’s recent release of virtual asset sale guidelines. A relaxation concerned with retail ownership of foreign Exchange Traded Funds has involved Huobi Tech introducing a crypto tracking ETF for retail traders. It is waiting for confirmation from Hong Kong after sending the proposal.

The US Securities and Exchange Commission hasn’t allowed crypto ETF but permitted ProShares Bitcoin Strategy ETF earlier last year. Huobi Tech has planned to launch a crypto tracking ETF for retail traders following Hong Kong’s relaxation for crypto Exchange Traded Fund (ETF) products. 

We will discuss in detail the crypto tracking ETF for retail traders in our article. So, let’s collect more information on Huobi Tech’s crypto tracking ETF for retail traders through our post. 

Crypto Tracking ETF For Retail Traders 

Huobi Tech to launch crypto tracking ETF for retail traders

Huobi Tech, the Hong Kong Stock Exchange-listed company, has plans to launch a crypto tracking ETF for retail traders. The public-listed fund manager, Huobi Tech has already submitted a proposal to the SFC (Securities and Futures Commission) for the crypto Exchange Traded Fund. It is waiting for confirmation from SFC for this.

Huobi Tech aims to provide a chance to retail investors for safe participation in Bitcoin with the introduction of the crypto tracking ETF for retail traders. The New product will focus on assets not more than HK$8 or $1 million approximately as reported by the South China Morning Post. The Hong Kong-based virtual asset platform’s plan to introduce a crypto tracking ETF for retail traders is expected to get consent from Hong Kong’s financial regulators.

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Romeo Wang who is the vice president of Huobi Tech, has stated that this crypto tracking ETF for retail traders will offer great security to investors. The company is planning to widen its ETF reach in Hong Kong. The lack of a crypto-tracking ETF for retail traders is driving the demand for one. 

Huobi Tech’s crypto tracking ETF for retail traders aims to provide higher protection to investors. The Hong Kong Monetary Authority and the Securities and Futures Commission have barred retail investors to access crypto-based ETFs. It was done because these exchange-traded funds are considered risky assets. The professional traders are the only ones who are permitted to trade these exchange-traded funds.

The circular stating the exceptions for retail traders also separated virtual goods into two kinds, non-complex and complex. Only the non-complex type is allowed for retail traders. Investors having assets over $1million are the professionals who can deal in virtual goods or assets by regulated offering.

Huobi Tech, though shares a common name with Huobi Global, has no connection with this popular cryptocurrency exchange. The firm was known as Pantronics Holdings and focused on electronic items formerly. However, Huobi Tech has ventured into the digital assets world. The Vice president of the company has also stated to keep positive and close communication with the financial regulators to get the necessary approvals and licenses.

This move to send a proposal is a huge step. If it is successful, non-professional investors in Hong Kong will be able to trade cryptocurrency. The decision related to approval for crypto tracking ETF for retail traders is still pending. Let us see if the proposal is accepted and a crypto tracking ETF for retail traders is launched or not in the future. 

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Wrapping-Up:

This post covers the latest news related to Huobi Tech’s plans of launching a crypto tracking ETF for retail traders. The proposal has been sent to the Securities and Futures Commission (SFC) but there is no announcement related to the confirmation from them. The decision is still pending. 

We will keep you updated with any other information related to this crypto tracking ETF for retail traders. Let’s see if the proposal is accepted and a crypto tracking ETF for retail traders comes into existence in the future or not. Don’t forget to share your thoughts on this in the comment section below. 

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