FalconX Research Director: Hong Kong Cryptocurrency ETF AUM still expected to reach 1 billion USD by year-end

Odaily reports that David Lawant, research director at institutional digital asset broker FalconX, has not given up on his predictions for the future development of cryptocurrency ETFs in Hong Kong. He stated that it is common for fund inflows to slow down after an ETF launch and then steadily increase over time, especially during periods of low market volatility. This trend has been highlighted in recent months.

Currently, the management scale of Bitcoin and Ethereum spot ETFs in Hong Kong is $290.6 million USD, far less than similar ETFs in the United States (nearly $57 billion USD). On some trading days, these six funds even saw no net inflow of capital.

However, Lawant believes that it's still possible for Hong Kong's ETF assets to reach $1 billion USD by the end of this year. "It might be more realistic to achieve this goal by the end of 2025. However, considering the fast-paced nature of cryptocurrencies, I wouldn't completely rule out this possibility," added Lawant.

He also said: "Compared with what we see in other countries/regions, this number will definitely seem small. But considering the size of Asian markets and their importance to the entire crypto ecosystem, I believe it could go higher." (DL News)