China seems to be the one The pursuit of America With the arrival of Spot Bitcoin ETF in Hong Kong. “The competition is fantastic. If US asset manager BlackRock launches Spot Bitcoin ETF, surely China should too. The economic war between the US and China is fantastic for Bitcoin,” said highly bullish Arthur Hayes.
But it’s not about Hong Kong, it’s about China?
That is true, but globally Hong Kong is generally seen as an extension of China. Hong Kong sometimes appears as a jurisdiction where China is doing more risky things so that it can continue its rivalry with the United States.
Hong Kong is often considered a “Special Administrative Region” (SAR) of China, meaning it is part of the People’s Republic of China but has some degree of autonomy.
This special status resulted from the transfer of sovereignty over Hong Kong from the United Kingdom to China in 1997.
Also, Hong Kong has a thriving economy and is an important financial center in Asia and the world. Maintaining its own economic structure has helped Hong Kong maintain its position as an international business center.
Now that spot bitcoin ETFs seem to be coming to Hong Kong, China won’t hold back if the US gets one through BlackRock, for example.
Good for Bitcoin
The timing of this decision from Hong Kong is not entirely coincidental. We’ve reached a point where spot bitcoin ETFs in the United States seem to be only a matter of time.
If China doesn’t want to be too far behind in Bitcoin, it should join now, so it’s no surprise that they’re making this strategic choice at this time.
This choice also shows how important (at least possible) it is for geopolitical powers like China to embrace Bitcoin, or at least keep it close.
It will be interesting to see where the first Spot Bitcoin ETF hits the market, whether in the US or Hong Kong. Either way, this development can be said to be good for Bitcoin.
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