Market cap: BTC 1.278 Trillion ; ETH: 372 Billion
Day to Day: BTC: +3.48%, ETH: +1.82%
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Bitcoiners say the halving will trigger an 'immense supply shock' and is barely priced in
Bitcoin proponents argue the halving could have a big impact through the reduction of new supply. However, some say that this will have a minimal effect that will only impact some miners. (However, some estimate that the Hong Kong ETFs will be "lucky" to even attract $500 million of total AUM.)
Hong Kong's 'spot-on' approval of spot ether ETFs hailed by OSL executive, eyes advantage over US
https://www.theblock.co/post/288315/hong-kongs-spot-on-approval-of-spot-ether-etfs-hailed-by-osl-executive-eyes-advantage-over-us https://www.theblock.co/post/288259/bitcoin-ether-recover-hong-kong-greenlights-spot-crypto-etfs
https://www.theblock.co/post/288581/hong-kong-spot-bitcoin-etfs-could-go-live-as-soon-as-this-month-osl
https://www.theblock.co/post/286994/hong-kong-spot-bitcoin-etf-chinese-asset-managers-apply
OSL, which acts as sub-custodian and infrastructure service provider for two fund managers, said the spot bitcoin products aim to launch as early as late April, provided that interactions with the regulator proceed smoothly.
Gary Tiu, executive director and head of regulatory affairs at OSL, said Hong Kong asset managers would stand in a good position when they launch spot ether ETFs.
The list includes China Asset Management, Bosera Asset Management and HashKey Capital, and Harvest Global Investments. The Hong Kong-based subsidiary of Chinese asset manager Harvest Fund has applied with regulators to offer spot bitcoin ETFs, while Southern Fund is “exploring” the application process, according to Chinese state media. (Southern Fund, which is offering bitcoin futures ETF and ether futures ETF in Hong Kong, could also be interested in launching a spot bitcoin ETF)
“They can access spot bitcoin on the SFC-licensed VATPs (virtual asset trading platforms), or they can get access through futures-based bitcoin or ether ETFs which may raise efficiency concerns due to high rolling costs associated with futures contracts,” He continued. “Meanwhile, only professional investors in Hong Kong could have access to US-listed spot ETFs, so the introduction of spot products in Hong Kong really provides the investment opportunity to a wider audience.”
Hong Kong’s preliminary approval of spot ether exchange-traded funds could give the region a competitive edge over the U.S. in the retail spot ETF market, an OSL executive said.
“From a technical standpoint, this means those products are pretty close to being ready to go live,” Tiu said. “But maybe there are still some technical conditions they need to satisfy before they can launch the public offering.”
“Typically, with the product authorization, if they already have in-principle approval, it means we are getting very, very close,” he added.
BUT: Mainland investors not allowed via Stock Connect as Stock Connect program currently does not allow mainland investors to invest in crypto futures ETFs in Hong Kong
“There will [be a fee war] for sure,” Tiu said. “We are talking about multiple products from multiple issuers launching at the same time, but tracking the same underlying asset. The ability to offer price competitiveness to the market is going to be key.”
Differences and significance :
The upcoming spot bitcoin and ether ETFs managed by Bosera Asset Management and HashKey Captial are expected to allow investors to subscribe for ETF shares using bitcoin and ether directly, according to the firms. It means “The fund can accept in-kind subscriptions,” Tiu of OSL said. “What it means is if you have an investor who has long BTC. But they don't want to exit the BTC position. But they want to swap it for another type of instrument — for example, for an ETF instrument or for an interest in the fund that tracks the performance of BTC — this now gives them the channel to do so.”
Solana patch aims to help alleviate ongoing network congestion issues
Solana’s v1.17.31 release is now recommended for general use by mainnet validators. The patch is designed to help alleviate congestion issues on the Solana network. The patch specifically includes improvements in how data packets are handled and optimized, changes to how certain nodes are classified based on their stake and updates to default settings in the system's local testing environment. Solana co-founder Anatoly Yakovenko said it typically takes about 30 incremental updates, or patch releases, to develop and finalize a major software version.
Recap of issue:
The congestion affecting the network is largely due to an influx of spam transactions, with bots attempting to prioritize their activities over those of regular users. This issue is exacerbated by a dramatic increase in transactions associated with newly released memecoins, creating an extraordinary demand for the network’s block space and impeding access for many users.