Malaysian e-government services provider MyEG Services Bhd has partnered with MaiCapital, a virtual asset manager licensed in Hong Kong, to develop an exchange-traded fund (ETF) approved by the Securities and Futures Commission of Hong Kong (SFC).
The ETF will feature various cryptocurrencies, including Bitcoin and Zetrix, aiming to provide investors with a tool to diversify their portfolios and mitigate the volatility typically associated with single cryptocurrencies.
MaiCapital, which holds approval from the SFC to manage funds that may consist entirely of virtual assets, will collaborate with MyEG to launch this ETF.
Marco Lim, managing partner of MaiCapital Ltd., stated that this collaboration demonstrates Hong Kong’s successful adoption of Web3 technologies and its effective positioning as an innovation hub in this sector.
“Virtual Assets are a key part of a vibrant Web3 ecosystem, and more and more leading Web3 players are recognising Hong Kong’s progressive yet prudent stance on Web3. Our latest MoU with Zetrix Foundation/MYEG is yet another testament,”
he said.
“”MYEG is pleased to partner with MaiCapital, a leading provider of virtual asset (VA) fund services in Hong Kong, to expand our offerings of cryptocurrency virtual assets fund or ETF options for investors. This collaboration aims to provide investors with additional avenues for diversification across multiple cryptocurrencies, thereby helping to mitigate the risks and volatility associated with owning a single cryptocurrency,”
said MyEG Managing Director Wong Thean Soon.
The partnership was announced alongside MyEG’s financial results for the year ending December 31, 2023. The company reported a net profit increase of 22.3 percent to RM487.65 million (HK$799.43 million) from RM398.66 million (HK$653.55 million) the previous year. Revenue grew by 20.57 percent to RM774.28 million (HK$1.2 billion).
This financial growth was primarily attributed to the performance of MyEG’s Zetrix blockchain platform, the sale of Zetrix tokens, and their initial exchange offering on three major global digital asset exchanges.
The increase in revenue was further supported by the continued performance of MyEG’s existing concession and commercial services and an uptick in foreign worker job-matching services following the end of a recruitment freeze.
According to MyEG, this new ETF initiative is part of the e-government services provider’s broader strategy to advance digital financial services and support blockchain infrastructure development in line with Hong Kong’s strategic objectives in the Web3 domain.
Featured image credit: Edited from Zetrix
