Samsung’s investment arm will launch a Bitcoin Futures ETF amid growing interest in the crypto

Bitcoin (BTC) is ringing in Hong Kong. Samsung Asset Management Hong Kong (SAMHK), a subsidiary of Samsung’s investment arm Samsung Asset Management, is scheduled to list the “Samsung Bitcoin Futures Active ETF” on the Hong Kong Stock Exchange on January 13.

The move comes amid growing interest from both the government and institutional investors in the region.

Hong Kong Stock Exchange. Source: thetradenews.com

An ETF, or exchange-traded fund, will track the spot price of Bitcoin by investing in Bitcoin futures products that are listed on the Chicago Mercantile Exchange (CME). The ETF will primarily invest in CME Bitcoin Futures, with some investments in CME Micro-Bitcoin Futures.

Currently, Hong Kong is the only market in Asia where Bitcoin futures ETFs can be traded. The Samsung Bitcoin Futures ETF joins the Hong Kong Crypto Futures ETF, which began trading at $70 million in 2022. Other markets around the world include Canada, the US, Australia and some European countries such as Switzerland.

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Park Seong-jin, head of Samsung Asset Management Hong Kong, commented:

“Hong Kong is the only market in Asia where bitcoin futures ETFs are listed and traded on the institutional market. It will be a new option for investors who are interested in Bitcoin as a competitive product that reflects their risk management experience.”

This ETF listing will provide retail and institutional investors with a new way to gain exposure to Bitcoin, which could help attract more investors to the cryptocurrency space. With Samsung’s reputation and brand power, the ETF could be an attractive option for investors looking for a way to invest in Bitcoin without buying and directly holding their own private keys.

Samsung’s move comes as the price of Bitcoin has breached the $18,000 level, indicating a potential uptick in positive sentiment among traders. Other cryptocurrencies also followed suit, seeing a recovery in the broader crypto market.

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In 2022, Samsung Asset Management Hong Kong Limited held $1.4 billion in assets under management, while the globally recognized Samsung brand remains actively involved in the crypto space. The South Korean company, which is estimated to be worth more than $300 billion, boasts a blockchain wallet, while its flagship smartphone, the Galaxy S22, comes pre-installed with crypto.

The ETF is a further indication that the global brand is looking to capitalize on the growing interest in cryptocurrencies.