- CSOP Asset Management to launch the first inverse Bitcoin ETF in Asia.
- The ETF, designed to profit from Bitcoin price declines, debuts on July 23.
- The product follows CSOP’s successful Bitcoin Futures ETF launch in December 2022.
Hong Kong is set to make a significant advancement in the cryptocurrency investment landscape with the launch of Asia’s first inverse Bitcoin ETF, the CSOP Bitcoin Future Daily (-1x) Inverse Product (7376.HK).
The CSOP Bitcoin Futures Daily (-1x) Inverse Product aims to closely mirror the inverse daily performance of the S&P Bitcoin Futures Index by investing directly in spot-month Chicago Mercantile Exchange Bitcoin Futures.
Pioneering Crypto Investments: Hong Kong Introduces Inverse Bitcoin ETF
The launch of the CSOP Bitcoin Future Daily (-1x) Inverse Product on July 23 marks a pivotal moment for Hong Kong and the broader Asian financial markets. This ETF is designed to provide investment results that correspond to the inverse daily performance of the S&P Bitcoin Futures Index, offering investors a unique method to profit from Bitcoin’s price declines.
CSOP Asset Management’s introduction of this inverse Bitcoin ETF is a strategic follow-up to their successful launch of the Bitcoin Futures ETF (3066.HK) in December 2022. This move underscores the firm’s commitment to expanding its product offerings and enhancing its presence in the Asia-Pacific region. With the new inverse product, CSOP aims to attract a broader range of investors interested in diversifying their investment strategies.
Since late 2022, the Hong Kong Stock Exchange (HKEX) has been an active player in the crypto ETF market. CSOP’s Bitcoin Futures ETF and Ether Futures ETF were among the first to be introduced, followed by Samsung Asset Management Hong Kong’s Bitcoin Future ETF in January 2023. As of April 29, these ETFs collectively managed assets worth approximately 1.3 billion HK dollars ($170 million), highlighting the growing investor interest in cryptocurrency-based financial products.
Despite these advancements, the regulatory landscape for cryptocurrency exchanges in Hong Kong remains stringent. Recently, the Hong Kong Securities and Futures Commission (SFC) flagged seven unregulated crypto exchanges for operating without proper licenses. This action is part of the SFC’s broader efforts to mitigate risks of fraud and scams in the crypto market by maintaining a public record of registered, unregistered, and illegal trading entities.
The launch of Asia’s first inverse Bitcoin ETF by CSOP Asset Management represents a significant milestone for Hong Kong’s financial market, offering innovative investment opportunities while highlighting the importance of regulatory oversight in the rapidly evolving crypto landscape.
“The CSOP Bitcoin Futures Daily (-1x) Inverse Product is designed to offer investment results that correspond closely to the inverse daily performance of the S&P Bitcoin Futures Index.”
