Hong Kong Exchange HKEX launches the index on crypto in November

Hong Kong Exchanges and Clearing (HKEX) has announced the launch of the Virtual Asset Index Series (Index Series) on crypto. Starting from November 15, investors will be able to have a transparent and reliable benchmark for the prices of Bitcoin and Ethereum in the Asian time zone.

Hong Kong Exchange HKEX and the new Index Series on crypto

Today, the Hong Kong Exchanges and Clearing (HKEX) announced the launch of its Virtual Asset Index Series (Index Series) on crypto.

In practice, starting from November 15, investors will be able to have a transparent and reliable benchmark for the prices of Bitcoin (BTC) and Ethereum (ETH) in the Asian time zone. 

This involves achieving the goal of providing a single reference price for virtual assets, which are often traded at different prices on global exchanges. In this sense, Hong Kong qualifies as a leading hub in Asia for digital assets.

In this regard, Bonnie Y Chan, the CEO of HKEX stated the following:

“We are pleased to introduce the HKEX Virtual Asset index series to meet the growing demand for this rapidly growing asset class in the region. By offering transparent and reliable real-time benchmarks, we seek to enable investors to make informed investment decisions, which in turn will support the development of the virtual asset ecosystem and strengthen Hong Kong’s role as an international financial center.”

Hong Kong: HKEX and the launch of the new crypto indices on Bitcoin and Ethereum

The Index Series on cryptocurrencies will for now be composed of the Reference Index for Bitcoin and Ether, respectively, and the Reference Rate for Bitcoin and Ether. 

In practice, the Benchmark Index is a volume-weighted 24-hour spot price of Bitcoin or Ether, which uses aggregated prices from the most quoted crypto exchanges, calculated in real-time and denominated in US dollars. 

On the contrary, the Tasso di riferimento, instead, is designed for the settlement of financial products and is calculated every day at 16:00 Hong Kong time.

Not only that, the announcement states that at the regulatory level, the Index Series are the first indices on crypto compliant with the BMR, the EU benchmark regulation developed in Hong Kong. These HKEX index series will also be administered and calculated by CCData, registered in the United Kingdom.

The launch of the gold token by HSBC

And speaking of Hong Kong, just today, during the HK Fintech Week, HSBC bank presented the gold token, the first real world asset (RWA) token issued by a bank, linked to physical gold. 

At the moment, the gold token is available only for residents of Hong Kong and 1 token is equivalent to 0.001 ounce of gold. 

Given this territorial closure and that the issuer is a bank, the blockchain chosen to issue the gold token is a private distributed ledger.