Mox Bank, a Hong Kong-based virtual bank, has launched crypto exchange-traded fund (ETF) trading for its clients and is considering spot trading options.
Mox, a virtual bank subsidiary of Standard Chartered, announced the launch of a crypto ETF service on August 7. This made it the first bank to offer direct trading of spot Bitcoin and Ether ETFs on its platform.
The bank intends to broaden its crypto offerings by enabling direct purchases and trading of crypto assets through a partnership with a licensed exchange in the future.
Mox is positioning itself as a cost-effective alternative for trading crypto ETFs. For Hong Kong-listed spot and derivatives ETFs, the fee is 0.12% of transaction volume with a minimum of $3.85 (30 Hong Kong dollars). For US-listed derivatives ETFs, the cost is 0.01% per share with a minimum of $5.
Spot crypto ETFs were authorized and commenced trading in Hong Kong on April 30 as part of the nation’s endeavors to establish itself as a crypto center for the Far East.
In addition, the digital bank, established in September 2020, reports that 28% of its customers are currently invested in cryptocurrency, with 18% being active speculators.
Barbaros Uygun, the CEO of Mox, stated that the digital bank aspires to establish a global benchmark from Hong Kong by “responsibly and innovatively adapting to evolving markets.”
“Adding Crypto ETFs to the Mox Invest platform empowers our customers to gain access to emerging asset classes with confidence,”
Concurrently, Jayant Bhatia, the chief product officer of the bank, stated to the South China Morning Post that the crypto ETF launch is “merely the beginning of what Mox intends to provide in the crypto investing space.” However, he did not provide additional information regarding the anticipated launch date of crypto trading services.
Bosera HashKey, ChinaAMC, and Harvest Global, the three Hong Kong spot ETF issuers, have encountered significant challenges in establishing a presence for their products following their launch three months ago.
Based on data from CoinGlass, the three ETFs experienced no transactions in August, and the combined total assets under management are a mere $236.3 million.
