Virtual Asset ETF Trading Now Live: A New Era for Professional Investors

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The rise of virtual assets has captured global attention, with Bitcoin repeatedly reaching record highs and solidifying its position as a compelling addition to modern investment portfolios. As market interest grows, KGI Securities has taken a pioneering step by launching virtual asset ETF trading effective December 31, 2024—becoming the first securities firm in the region to offer over 60 virtual asset ETFs listed on U.S. and Hong Kong exchanges. This service is available to qualified professional investors through discretionary委托 (multi-market委托), enabling seamless participation in Bitcoin and other digital asset trends—anytime, anywhere.

Why Virtual Asset ETFs Are Gaining Momentum

Historically, investing in virtual assets posed significant challenges due to their decentralized nature and lack of regulatory clarity. Many investors hesitated to engage with private cryptocurrency exchanges, especially after high-profile collapses like FTX in 2022, which eroded trust in unregulated platforms.

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Today, the landscape is changing. With the U.S. Securities and Exchange Commission (SEC) approving spot Bitcoin ETFs, institutional confidence has surged. Major financial players like Goldman Sachs and Morgan Stanley have already allocated positions in Bitcoin ETFs, signaling a broader shift toward recognizing digital assets as a legitimate asset class.

KGI Securities aligns with this evolution by offering a secure, regulated channel for professional investors to gain exposure to virtual assets—without the complexities of managing private keys or navigating volatile crypto exchanges.

Trusted Guidance: KYP Meets ETF Expertise

At the core of KGI’s approach is its commitment to "selling trust, not just products." Before launching virtual asset ETF trading, the firm implemented rigorous Know Your Product (KYP) protocols to ensure its sales team is equipped with deep market knowledge.

Training covers:

Moreover, since June 2024, KGI has required its wealth management advisors to obtain the Professional ETF Advisor (ETFP) certification—an industry-first move that underscores its dedication to expertise and client education.

This level of preparation ensures that investors receive informed guidance tailored to their risk appetite and financial goals, making virtual asset investing more accessible and transparent.

Comprehensive Access Across Global Markets

KGI Securities stands out as the first local broker to provide access to over 60 virtual asset ETFs traded on both U.S. and Hong Kong exchanges. This includes high-liquidity options such as the Harvest Bitcoin Spot ETF (3439.HK), one of the largest in terms of market capitalization among Hong Kong-listed digital asset funds.

Investors can execute trades through KGI’s multi-market委托 platform using multiple currencies—including USD, HKD, and RMB—offering greater flexibility and cost efficiency.

Beyond product breadth, KGI enforces robust Know Your Customer (KYC) procedures in line with regulatory standards. These include:

These safeguards reflect KGI’s proactive stance in protecting client assets and promoting responsible investing in an emerging and often misunderstood market.

Why Invest via ETF Instead of Direct Crypto?

For investors seeking exposure to Bitcoin’s performance, investing through a spot Bitcoin ETF via a licensed securities firm offers distinct advantages over direct purchases on cryptocurrency exchanges.

Key Benefits Include:

✅ Simplified Access
No need to open accounts on unfamiliar crypto platforms or learn new trading interfaces. Buying a Bitcoin ETF is as straightforward as trading any other exchange-traded fund.

✅ Enhanced Security
The underlying Bitcoin held by spot ETFs is securely stored by regulated custodians appointed by the fund issuer. Investors avoid the risks associated with self-custody, such as lost private keys or digital wallet breaches.

✅ Integrated Portfolio Management
Through KGI’s platform, investors can consolidate traditional investments (stocks, bonds) with virtual assets under one account. This enables holistic portfolio oversight, easier rebalancing, and better risk management.

✅ Regulatory Oversight
ETFs are subject to strict reporting and compliance requirements, offering greater transparency than most crypto exchanges.

As阮建銘, Head of Wealth Management at KGI Securities, notes:

“For domestic investors looking to participate in Bitcoin’s growth, investing via a broker-executed spot Bitcoin ETF is far simpler and safer than buying crypto directly.”

Expanding Opportunities Beyond Bitcoin ETFs

While spot Bitcoin ETFs are a major draw, KGI’s multi-market委托 platform also offers alternative ways for investors to engage with the digital asset ecosystem—even for those who don’t qualify as professional investors.

Available options include:

However, KGI cautions that these equities may not always move in tandem with Bitcoin’s price. Their valuations depend on company-specific factors such as profitability, management quality, and competitive positioning—alongside broader market sentiment.

Therefore, thorough due diligence is essential before investing in individual stocks or niche sector funds.

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Frequently Asked Questions (FAQ)

Q: Who is eligible to invest in virtual asset ETFs through KGI Securities?
A: Currently, only professional investors who meet regulatory criteria set by local authorities can access spot Bitcoin and other virtual asset ETFs via KGI’s discretionary委托 service.

Q: How does a spot Bitcoin ETF differ from a futures-based Bitcoin ETF?
A: A spot ETF holds actual Bitcoin as underlying collateral, tracking real-time price movements. In contrast, futures-based ETFs track Bitcoin futures contracts, which may deviate from spot prices due to roll costs and market expectations.

Q: Is there counterparty risk when investing in a Bitcoin ETF?
A: While the ETF structure introduces custodial and issuer risks, these are mitigated through regulation, third-party audits, and transparent holdings reports. This contrasts sharply with the higher counterparty risks seen on unregulated crypto exchanges.

Q: Can I hold virtual asset ETFs within a tax-advantaged account?
A: Depending on local regulations, certain retirement or brokerage accounts may allow ETF holdings. Investors should consult a tax advisor for personalized guidance.

Q: Are there ongoing fees for holding virtual asset ETFs?
A: Yes—like all ETFs, these funds charge an expense ratio to cover management and custody costs. Investors should review each fund’s prospectus for detailed fee information.

Q: What happens if the price of Bitcoin drops sharply?
A: As with any investment, values can decline. However, integrating Bitcoin ETFs into a diversified portfolio may help reduce overall volatility due to their historically low correlation with traditional assets like stocks and bonds.

The Future of Digital Asset Investing Is Here

With institutional adoption accelerating and regulatory frameworks maturing, virtual assets are no longer a fringe phenomenon—they’re becoming part of mainstream finance. KGI Securities’ early-mover advantage in offering cross-border virtual asset ETF access positions it as a leader in next-generation wealth management.

Whether you're exploring portfolio diversification, hedging against inflation, or seeking growth in innovative technologies, regulated ETFs offer a secure gateway into the world of digital finance.

👉 Learn how trusted financial institutions are integrating digital assets into modern portfolios.

By combining education, security, and global market access, KGI empowers investors to participate confidently in one of the most transformative financial movements of our time.

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