UBS Group AG, the largest Swiss wealth manager, will allow wealthy clients on its Hong Kong platform to trade crypto-linked exchange-traded funds (ETFs) from Friday.
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Fast Facts
- Three crypto ETFs authorized by the Securities and Futures Commission (SFC) — Samsung Bitcoin Futures Active ETF, the CSOP Bitcoin Futures ETF and the CSOP Ether Futures ETF — will be available on UBS Hong Kong.
- Only clients with over US$2 million in investable assets will be able to trade the ETFs through UBS Hong Kong, Rob Stewart, chief communication officer at UBS Asia Pacific confirmed to Forkast.
- Hong Kong introduced its digital asset regulatory regime on June 1, allowing licensed crypto trading platforms to serve retail investors.
- Hong Kong has previously announced its ambitions to become a global crypto hub, despite mainland China’s ban on crypto trading.
- However, Hong Kong authorities tightened their regulatory stance toward crypto, following a US$180 million fraud case at crypto exchange JPEX.
- Two of Hong Kong’s financial regulators issued a joint warning on Oct. 23 pointing to the risks of “complex” virtual asset products on retail investors. They advised intermediaries to only sell such assets to professional investors with a net worth to cover any financial losses.
- Professional investor status requires a portfolio worth at least HK$8 million (US$1.03 million) under Hong Kong law.
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