Hong Kong has officially greenlit its inaugural Solana spot exchange-traded fund (ETF), making it the third crypto spot ETF approved in the city, following Bitcoin and Ethereum.
On Wednesday, the Hong Kong Securities and Futures Commission (SFC) approved the China Asset Management (Hong Kong) Solana ETF, which will be listed on the Hong Kong Stock Exchange, according to a report by the Hong Kong Economic Times.
The product will feature both RMB and USD counters, allowing it to be traded and settled in either currency. Each trading unit will be composed of 100 shares, with a minimum investment of approximately $100. The fund is anticipated to launch on Oct. 27.
The ETF’s virtual asset trading platform will be managed by OSL Exchange, while OSL Digital Securities will act as the sub-custodian. ChinaAMC has established a management fee of 0.99%, with custody and administrative fees limited to 1% of the sub-fund’s net asset value, resulting in an estimated annual expense ratio of 1.99%.
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Hong Kong strengthens lead in crypto ETFs
ChinaAMC (Hong Kong) is already recognized for launching Asia’s first Bitcoin (BTC) and Ether (ETH) spot ETFs, both approved earlier this year.
The approval of spot Solana (SOL) ETFs in Hong Kong coincides with similar initiatives in other regions. Last year, Brazil became the first nation to officially start trading its spot Solana ETF on the Brazilian stock exchange, outpacing other global jurisdictions.
In April, spot Solana ETFs additionally launched in Canada, with the Ontario Securities Commission (OSC) approving asset managers Purpose, Evolve, CI, and 3iQ to issue ETFs holding Solana.
More recently, Kazakhstan debuted its first spot Bitcoin ETF, the Fonte Bitcoin Exchange Traded Fund (BETF), on the Astana International Exchange, with BitGo acting as the regulated crypto custodian.
Meanwhile, the United States continues to lag, with no confirmed Solana spot ETF approved or launched thus far.
Related: How high can SOL price go if a spot Solana ETF is approved?
Bitwise: Solana will be Wall Street’s go-to network
Bitwise chief investment officer Matt Hougan predicts that Solana is set to become the leading blockchain for stablecoins and real-world asset tokenization, referring to it as “the new Wall Street.”
In a discussion with the Solana Foundation’s Akshay BD earlier this month, Hougan noted that traditional finance entities find Bitcoin too abstract but see significant promise in stablecoins for transforming payments and the potential of tokenization to revolutionize markets for stocks, bonds, commodities, and real estate.
Hougan emphasized that when institutional investors assess blockchain infrastructure, Solana’s speed, throughput, and transaction finality make it particularly attractive.
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