- Hong Kong-based Value Partners plans to tokenize its gold reserves.
- The firm is also considering issuing ETFs based on virtual assets.
- The management believes that the emergence of such products will accelerate the development of the industry.
One of the largest asset management companies in Hong Kong, Value Partners, plans to tokenize gold from its reserve and issue ETFs linked to virtual assets.. The company’s senior strategist, Zhao Shande, told local media.
He emphasized that Value Partners is the only issuer of gold ETFs in Hong Kong that has a supply of physical bullion. The company stores about three tons of precious metal in a secure warehouse in a restricted area of Hong Kong International Airport.
According to Shande, the launch of new derivative products based on virtual assets will accelerate the development of the industry and make its coverage wider. He did not give an exact time frame for implementing the initiative.
At the same time, Shande noted the high growth potential of gold, both physical and paper, in 2024. According to him, the US economy will “inevitably” go into recession, which will boost precious metals prices as a means of hedging risks.
Shande predicted an increase in quotations on the gold futures market to $2,300 per ounce. Let us recall that on December 4, 2023, the price of gold updated its ATH at $2198, but then rolled back.
We covered this in detail in an article about the attitude of various experts to the autumn rally in the Bitcoin market:
We previously reported that the authorities of South Korean Busan launched the world’s first decentralized exchange of tokenized assets.
It is noteworthy that Matrixport experts believe that Bitcoin is a much more effective investment instrument than gold. More details at the link.