Key takeaways:
- The CSOP Bitcoin Future Daily (-1x) Inverse Product (7376[.]HK), Asia’s first Bitcoin futures inverse product, will debut in Hong Kong on July 23.
- The CSOP Bitcoin Futures Daily (-1x) Inverse Product aims to provide investment returns that closely mirror the S&P Bitcoin Futures Index’s inverse daily performance.
The CSOP Bitcoin Future Daily (-1x) Inverse Product (7376[.]HK), Asia’s first Bitcoin futures inverse product, will debut in Hong Kong on July 23.
One of the biggest asset managers in China, CSOP Asset Management, has launched a new exchange-traded fund (ETF) that attempts to provide investors with a way to profit from drops in the price of Bitcoin.
This move carries on the company’s expansion in the Asia-Pacific area, and it comes after the successful launch of the CSOP Bitcoin Futures ETF (3066[.]HK) in December 2022.
The CSOP Bitcoin Futures Daily (-1x) Inverse Product aims to provide investment returns that closely mirror the S&P Bitcoin Futures Index’s inverse daily performance.
This inverse product invests directly into spot-month Chicago Mercantile Exchange Bitcoin Futures, utilizing a futures-based replication method.
According to a July 22 article from the CSOP company, the product is scheduled to be offered on the Hong Kong Stock Exchange (HKEX) with a listing price of roughly 7.8 Hong Kong dollars per unit.
With the introduction of CSOP’s Bitcoin Futures ETF and Ether Futures ETF in late 2022, HKEX began trading spot crypto ETFs.
Both products track cash-settled contracts for Bitcoin futures and Ether futures traded on the CME. In January 2023, Samsung Asset Management Hong Kong released its Bitcoin Future ETF.
As of April 29, HKEX crypto ETFs had 1.3 Billion HK in assets under management, or $170 Million, spread over the three futures products.
The Hong Kong Securities and Futures Commission (SFC) released alerts on July 5 regarding seven illicit crypto exchanges operating in the area.
The SFC marked the exchanges as “Suspicious virtual asset trading platforms” on its alert list for providing services without operating licenses. The SFC maintains public records on registered, unregistered, and illicit crypto trading entities in an effort to lower the risks of fraud and scams.
Many exchanges, including the crypto exchange HKX, have submitted license applications to the Hong Kong SFC. The management team of HKX recently urged existing users to sell their crypto holdings and declared on July 18 that it was closing the exchange in Hong Kong.
