The Hong Kong Virtual Asset Consortium (HKVAC) has announced significant changes to its crypto indices, reshuffling its top 5 crypto index, top 10 crypto index, and overall crypto index. This has led to the exclusion of several notable cryptocurrencies.
In a headline-grabbing adjustment, Ripple’s native token XRP has lost its seat in the top 5 global crypto index, making way for the rise of Solana. This change highlights the dynamic nature of the crypto market, where established players can quickly be overtaken by emerging contenders.
A significant inclusion in the top 10 index is Avalanche, which has replaced TRON, marking its rise after a strong performance in December 2023. Ryan Mcmillin, Chief Investment Officer at Merkle Tree Capital, attributes Avalanche’s recent surge to strategic partnerships with traditional banking giants like JPMorgan and Citi. These partnerships aim to drive real-world asset tokenization initiatives, demonstrating the growing intersection between traditional finance and the crypto space.
While Solana and Avalanche are in the spotlight, it’s important to recognize TRON’s significant recovery since the challenging bear market cycle of 2018-2020. Despite falling by over 98% during that period, TRON has achieved a remarkable 100% rally in 2023, indicating resilience and potential amid market fluctuations.
Beyond the index adjustments, the HKVAC’s global large crypto index welcomes new additions, including Internet Computer, Near Protocol, Optimism (OP), Injective (INJ), and Immutable (IMX). These additions reflect the consortium’s commitment to keeping up with the rapidly expanding and diversifying crypto market.
The HKVAC’s move comes as Hong Kong intensifies efforts to strengthen its crypto industry. The city’s financial regulator recently announced preparations to welcome spot crypto ETFs, inspired by the United States Securities and Exchange Commission’s approval of 11 spot Bitcoin ETF applications. However, the regulator emphasized that these ETFs must conduct crypto transactions through SFC-licensed platforms or authorized financial institutions, ensuring regulatory compliance.
These recent developments follow a Hong Kong lawmaker’s call for swift action after the U.S. approval of spot bitcoin exchange-traded funds. While the SFC expressed readiness to authorize retail access to spot virtual asset ETFs in December, the actual launch in Hong Kong lags behind the U.S.
In December, the Securities and Futures Commission and the Hong Kong Monetary Authority reviewed their existing policy, signaling a commitment to adapt to the evolving crypto landscape.
Other news includes the BIS’s plan to examine ‘Safe DeFi’ and CBDCs next week, Texas officials challenging Voyager’s present disclosure statement, India preparing a consultation paper on cryptocurrencies, and Genesis pursuing $689M from Gemini in a legal battle over ‘preferential transfers’.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Asia |
| Countries | 🇺🇸 🇭🇰 |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | Ryan Mcmillin |
| Companies | Merkle Tree Capital, Hong Kong Monetary Authority, Gemini, Citi, Securities and Futures Commission, JPMorgan, Hong Kong Virtual Asset Consortium |
| Currencies | Solana, Avalanche, TRON, XRP |
| Securities | None |
