Samsung Investment Sector to launch Bitcoin Futures ETF as their Interest in the Crypto Space Grows

It’s great news for Hong Kong investors, as Samsung’s new ETF listing opens the door for their investors to gain the necessary exposure. For the city, it is good tidings as a subsidiary of Samsung’s investment arm “Samsung asset management” decided to list Samsung Bitcoin Futures Active ETF on the Hong Kong stock market today, January 13.

For Hong Kong, this move comes at a very strategic time, as there has been a surge in interest in crypto from both institutional investors and the government in the region. The ETF, or in complete form, the exchange-traded fund, will track the spot price of bitcoin by investing in the products of the future currently listed on the Chicago Mercantile Exchange (CME).

The ETF will mainly focus on investing in the CME Bitcoin Futures, with some investment in the CME Micro-Bitcoin Futures. Hong Kong is also the only market in Asia that trades Bitcoin futures ETF, and the Samsung bitcoin Futures ETF has joined the Hong Kong Crypto Futures ETF, which began its trading with a tune of $70 million back in 2022.

The head of Samsung Asset Management in Hong Kong alluded that Hong Kong is the only market in Asia that trades and lists Bitcoin futures ETF in the institutional market would serve as a new option for investors who have an interest in Bitcoin as a competitive product that will reflect their experience in risk management. The ETF listing will also provide retail and institutional investors with a new way to gain exposure to Bitcoin. It may also help with attracting more mainstream investors to the cryptocurrency industry.

With the reputation Samsung’s brand power brings, it would push investors to see the ETF as a good option for investing in Bitcoins without actually purchasing or holding their private keys directly. Samsung’s move also comes strategically at a time when bitcoin crossed the $18,000 level, which could be attributed to a potential rise in public opinion towards it by traders, with the rise of Bitcoin, followed by the increase for other cryptocurrencies, which could be a sign of good times or a sign of recovery in the broader crypto market.

Samsung Asset Management, Hong Kong Limited, handling this is also a good move as they held $1.4 billion in assets under their management. At the same time, Samsung, the brand itself, continues to gain recognition and active involvement in the crypto market. Their flagship smartphone, the Galaxy S22, also has a pre-installed blockchain wallet. This move with the ETF could indicate Samsung’s intentions to further capitalize on the attention that crypto continues to gain.

Samsung’s move comes along at a time when critics are predicting the downfall of the crypto market and speculations that the year is a terrible one for the blockchain industry. If a brand with as much reputation and power as Samsung can make the move to invest in the market, it could signal more investments pooling into the crypto market. There will be investors that will pick an interest in Bitcoin futures ETF because of Samsung’s involvement in it due to the trust the brand has built with its consumers.

Due to this move, there will also be another demographic of people finding their way into the crypto space. Some may stick to bitcoin futures as a way to not directly own bitcoin, and others may go through the route of buying bitcoin itself and investing in other cryptocurrencies. This could also mean that the blockchain industry may still have a big chance of attracting big corporations willing to collaborate and fund new web three invocations in the coming future. With more companies like Samsung picking an interest in cryptocurrency, there may be a healthy flow of more in the space and more positive feedback than the negative feedback the crypto market has gotten for months on end due to the harsh crypto winter and, more recently, the collapse of FTX, and laying off of workers in different companies amidst other things.

Conclusion

With this move by Samsung, Hong Kong gets even closer to its dream of making the city a crypto hub, especially with the Samsung subsidiary handling this in Hong Kong. This will help them attract more investments and investors to fuel their growth.