With the introduction of its new Virtual Asset Index Series, Hong Kong Exchanges and Clearing (HKEX) is making significant progress in the digital asset market. Launching on November 15, this index series will provide real-time price benchmarks for Bitcoin and Ethereum, aiming to provide precise pricing that aligns with trading hours in the Asia-Pacific region. This project supports Hong Kong’s goal of becoming a global hub for cryptocurrencies and digital asset markets.
By employing a volume-weighted average from leading exchanges, the Virtual Asset Index Series aims to simplify pricing for these significant cryptocurrencies and provide investors with a single point of reference. The goal of this transparency is to help investors make more informed choices in the frequently unpredictable realm of digital assets. This series will also be the first crypto index in Hong Kong to comply with the European Union’s Benchmarks Regulation (BMR), which is a significant move for the city.
Bonnie Chan, the CEO of HKEX, underlined the significance of this index series in meeting Asia’s growing need for structured digital asset investment choices. Chan said that by offering a constant and transparent price reference, HKEX hopes to promote wise investment choices and support the growth of a strong digital asset ecosystem in the area.
The Hong Kong Securities and Futures Commission (SFC) is acting to better regulate digital asset exchanges concurrently with the launch of HKEX’s new index. By the end of the year, the SFC expects to grant full operating licenses to a number of cryptocurrency exchanges that previously received provisional clearance. Hong Kong hopes to raise the security and compliance requirements in its digital asset market with this licensing procedure.
In recent years, Hong Kong has taken significant steps to foster a robust virtual asset sector, including the creation of exchange-traded funds based on Bitcoin futures and the establishment of licensing regulations for cryptocurrency exchanges. The government’s emphasis on regulating digital assets demonstrates its dedication to establishing a safe, open environment that satisfies global norms and increases investor trust.
HKEX’s new index and the city’s expanding regulatory structure both reflect Hong Kong’s ambitions to become a preeminent hub for digital assets. Supported by the UK-based data supplier CCData, the Virtual Asset Index Series serves as a crucial basis for future development and expansion in the Asian cryptocurrency sector.
