Members of the XRP community now anticipate an XRP spot exchange-traded fund (ETF) in Asian soil amid a pivotal development that has unfolded in the region.
In particular, Dizer Capital founder Yassin Mobarak has invited crypto industry leaders to move for an XRP ETF in Hong Kong following a recent regulatory greenlight.
Crypto ETF in Hong Kong
In a circular last Friday, top regulatory bodies in Hong Kong stated they have reassessed their current policy concerning intermediaries seeking involvement in crypto-related activities.
Specifically, the Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) expressed their readiness to accept crypto spot ETFs.
According to the circular, the revision reflects recent market advancements, with the SFC granting authorization for crypto futures ETFs. As a result, SFC and HKMA proclaimed that they are now open to receiving applications for the approval of additional funds featuring exposures to cryptocurrencies.
The regulators specifically cited “virtual asset spot exchange-traded funds (VA spot ETFs)” among potential ETFs it would welcome.
Invitation to File XRP Spot ETF
This crucial update from the Hong Kong regulatory agencies has caught the attention of prominent figures in the XRP community, such as Yassin Mobarak of Dizer Capital, a venture capital and private equity firm.
Specifically, Mobarak called other crypto industry participants to capitalize on the development and submit an application for an XRP ETF.
“Someone should file an XRP spot ETF application in Hong Kong,” the crypto founder tweeted.
— Yassin Mobarak ? (@Dizer_YM) December 22, 2023
Reacting to Mobarak’s view, an XRP enthusiast based in Hong Kong echoed his sentiment. “That’s a really good idea,” the commenter remarked.
Hong Kong Stock Exchange Ready to File Crypto Spot ETF
Similarly, Luo Boren, who leads securities product development at the Hong Kong Stock Exchange, has expressed readiness to capitalize on opportunities presented by the regulatory authorities.
He emphasized the exchange’s commitment to collaborating closely with issuers and all stakeholders to incorporate crypto spot ETF into the Hong Kong ETF market.
XRP ETF in the US
While XRP is the only digital asset in the United States with regulatory clarity, the outlook for an XRP spot ETF remains uncertain in the region. Industry leaders have questioned this turnout, challenging prominent asset managers like BlackRock for their apparent reluctance to file for an XRP ETF.