Huobi Tech (HKG: 1611) is a Hong Kong fund manager whose stock trades on the Hong Kong stock exchange.

Huobi Tech has proposed to launch a crypto-based financial product aimed at retail investors. The ETF plan, placed before Hong Kong regulator Securities and Futures Commission, would be Hong Kong regulated and open to retail investors with less than HK$8 million (US$1 million) in assets. (SCMP)

If approved, Huobi’s ETF would follow SFC-approved crypto fund products from Axion Global Asset Management, Venture Smart Asia and Fore Elite Capital Management, which are offered to “professional investors” with at least HK$8 million in assets.

There is a demand for bitcoin-based ETFs in Asia, given investors’ desire for exposure to crypto.

Huobi Tech’s senior vice-president Romeo Wang assured that the fund would conduct all trading and redemptions in Hong Kong and that the fund would be regulated under Hong Kong law.

In end-January, the Securities and Futures Commission and the Hong Kong Monetary Authority issued new rules restricting virtual asset intermediaries from offering crypto spot exchange-traded funds (ETFs) to retail investors.

Huobi Tech, previously known as Pantronics Holdings, should not be confused with crypto exchange platform Huobi Global.  

In early March it launched its over-the-counter (OTC) trading service for virtual assets. Huobi Brokerage, a virtual asset brokerage platform under Huobi Tech, launched last week its “7-day interest-free loan” campaign, which provides loans of actual interest rate as low as 6.98% APR, with a total loan amount of $100 million USDT, covering over 30 popular cryptocurrencies and stablecoins.

“The lending services offered by Huobi Brokerage enable clients to make use of crypto assets as collaterals to finance purchases of other cryptocurrencies”, said Wang at the time.

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