Bloomberg Intelligence senior analyst Eric Balchunas confirmed the information, stating that trading would commence by the end of the month. He highlighted that the fund management fees would be lower than anticipated, ranging from 0.3% to 0.99%.
Although it is unlikely that the success of such funds will be replicated in the United States, Bloomberg Intelligence analyst Rebecca Shin believes Hong Kong is a different story. Shin emphasized that spot ETFs may attract up to $1 billion in investments.
Local funds have their advantages, says Thomas Zhu, the head of digital assets at ChinaAMC. Zhu explained that the redemption of shares in the form of cryptocurrencies appeals to holders and offers a swift conversion of assets into regulated ETFs. Therefore, the demand for such investment products is expected to be strong.
A recent development in the realm of cryptocurrency investment products is the application filed by investment company Grayscale with the SEC to introduce a new offering called Ethereum Mini Trust.