The post SEC Opposition: Hong Kong Greenlights Ethereum (ETH) ETF Amid Regulatory Hurdles appeared on BitcoinEthereumNews.com.

Hong Kong’s Securities and Futures Commission (SFC) is in discussions with crypto ETF issuers to allow staking services through licensed platforms. Experts suggest that the inclusion of staking features could boost demand for Hong Kong’s spot Ethereum ETFs, which have seen relatively low interest since their launch in April. “The addition of staking to spot-ETH ETFs would be a significant achievement for Hong Kong,” said Serra Wei, CEO of Aegis Custody. Hong Kong’s SFC is exploring staking services for Ethereum ETFs, potentially giving them an edge over U.S. counterparts. Experts believe this could significantly boost demand and position Hong Kong as a leader in crypto ETFs. Hong Kong’s Ethereum ETFs: A Competitive Edge? The market’s attention has been focused on the U.S. Securities and Exchange Commission (SEC) and its impending decision on VanEck’s spot Ethereum ETF application. In a surprising move, Hong Kong has announced plans to facilitate staking features for its spot Ethereum ETFs, diverging from the SEC’s cautious stance on staking. According to sources familiar with the matter, the SFC has been in talks with Hong Kong’s crypto ETF issuers about potential staking services through licensed platforms. These discussions follow recent proposals submitted to the SFC by applicants. While the talks are ongoing, there is no definitive timeline for a decision. Experts believe that if the proposal is approved, the inclusion of staking services could potentially increase demand for Hong Kong’s spot Ethereum ETFs, which have seen relatively low interest since their launch in April. This move could also position Hong Kong ahead of the U.S., where the SEC is unlikely to approve any staking functions for ETFs. This was evident when Valkyrie decided to withdraw its U.S. application, and other issuers agreed to remove staking features from their applications. Will Staking Provide Leverage to HK Ethereum ETFs?…

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Filed under: News - @ May 23, 2024 7:14 pm