Samsung Asset Management launches a bitcoin exchange-traded funds (ETFs) in Hong Kong.
According to a Fortune Korea report, the Samsung Bitcoin Futures Active ETF (313:HK) aims to achieve a similar performance to spot BTC through investing in bitcoin futures products on the Chicago Mercantile Exchange. Cointelegraph reported the news on Thursday as well.
“Samsung Bitcoin Futures Active Exchange Tradeable Fund is a competitive product that reflects Samsung Asset Management’s long-term futures based ETF knowledge and risk management experience,” said Park Seongjin, the head of Samsung Asset Management’s Hong Kong branch. This translated version of the Fortune Korea report can be found here. It is a new option that investors who are very interested in Bitcoin can choose to invest.
Hong Kong is still determined to be a leading hub for crypto markets despite the latest market turmoil. Paul Chan, Hong Kong’s financial secretary, has recently reiterated his commitment and stated that Hong Kong will strive to attract businesses from around the globe. was the first BTC-linked ETF in Hong Kong, and it went live last month.
ETFs that offer investment opportunities are a major milestone in mainstream adoption. Institutional and retail investors are free from the complexity of the asset. They can now enjoy price exposure through a simple, regulated channel. Samsung’s Hong Kong offering will increase awareness of bitcoin and allow for greater exposure to the currency in the region.
However, there are inherent drawbacks to this. Investors can be exposed to fluctuations in fiat prices of the underlying asset via an ETF but they will not have that product, which could be gold or BTC. This is a subtle, but crucial distinction, especially for bitcoin.
Bitcoin’s true value proposition, censorship-resistant digital money and sovereign digital money, can only be accessed by investors if they purchase and hold the BTC themselves. This is possible thanks to some excellent resources.