Hong Kong Securities and Futures Commission: Virtual asset spot ETFs are only allowed to be traded on futures exchanges regulated by the Securities and Futures Commission.

According to the official announcement, the Hong Kong Securities and Futures Commission pointed out in the updated "Joint Circular on Virtual Asset-related Activities of Intermediaries" that virtual asset futures are only allowed to be traded on traditional regulated futures trading platforms, and the management company must prove that ( i) the underlying virtual asset futures have sufficient liquidity, (ii) the rollover costs of the underlying virtual asset futures are controllable, and how such rollover costs are managed. If a virtual asset fund authorized by the Hong Kong Securities and Futures Commission wants to handle spot virtual asset transactions and acquisitions, it should be processed on a virtual asset trading platform licensed by the Hong Kong Securities and Futures Commission or a recognized financial institution (or recognized locally registered subsidiary), especially involving the following two Require: (a) For cash subscriptions and redemptions, spot ETFs recognized by the Hong Kong Securities and Futures Commission should acquire and dispose of spot virtual assets through a licensed virtual asset trading platform; (b) For physical subscriptions, participating dealers (PDs) should transfer spot virtual assets held locally or overseas to spot virtual asset ETFs recognized by the Hong Kong Securities and Futures Commission.