Hong Kong traders favor the regulated U.S. bitcoin futures market

nRunaway Comment: The Bitcoin market in the United States has been popular with Hong Kong traders since it was introduced, mainly because of the unregulated nature of cryptocurrencies in Hong Kong and the high risk of such transactions. As a result, investors in Hong Kong have turned their attention to the regulated markets in the United States in order to trade safely, which is one reason why the trading volume of CBOE and CME’s bitcoin futures products has steadily risen.n
nTranslation: Inan
Safety first n
In December last year, both CBOE and CME launched bitcoin futures and their trading volume steadily increased from the launch date. For Hong Kong traders, they prefer the regulated U.S. market to the less secure local exchange.n
Gary Leung, chief executive of Hong Kong branch of TD Ameritrade, said his company is feeling the growing interest in Hong Kong’s bitcoin futures market, telling the South China Morning Post:n
n”Since we started operating in Hong Kong in October last year, we have received a lot of inquiries about bitcoin futures.”n
nHong Kong’s interest in Bitcoin exchanges on the U.S. Exchange is of great interest because the Hong Kong Monetary Authority does not regulate cryptocurrency as a commodity and therefore regulates it.n
Miao Yingyuan, managing director of China Securities International Finance Holdings, explained to South China Morning Post:n
n”Bitcoins and other digital currencies are largely unregulated in Hong Kong because they are traded as commodities and investors may suffer losses if the digital money platform is in trouble or attacked because regulators may not be It helped, dismissing many Hong Kong investors’ enthusiasm for digital currency transactions there. “n
nAs a result, investors hoping for the safest digital currency trading are starting to use US exchanges because “investors do not need to consider counterparty risk or worry about platform issues.”n
Gary Cheung, chairman of the Hong Kong Securities Association, said there are two categories of Hong Kong investors who trade Bitcoin via the U.S. Exchange:n
n”One is Bitcoin miners and investors who trade bitcoin and want to hedge futures, and the other is ordinary futures investors who just want to profit from speculative futures.”n
nBoth types of investors are well aware that the regulated market is more attractive than the unregulated market when investing in bitcoin futures.n

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