Kraken Subsidiary Is A Major Beneficiary Of Bitcoin ETFs In US & HK: Bloomberg

Highlights
- CF Benchmarks, a subsidiary of crypto exchange Kraken, saw a massive increase in demand for its indices amid spot Bitcoin ETFs.
- The company said it represents almost 50% market share in the crypto benchmarking market.
- CF Benchmarks CEO Sui Chung sees South Korea and Israel as potential big markets for Bitcoin ETFs.
Crypto exchange Kraken’s subsidiary is a major beneficiary of the spot Bitcoin exchange-traded funds (ETF) in the United States and Hong Kong, as per a latest report by Bloomberg. The company predicts $1 billion of assets under management (AUM) in spot Bitcoin and Ether ETFs in Hong Kong, as well as other markets to see the listing of spot crypto ETFs.
Kraken’s CF Benchmarks Gains 50% of Crypto Benchmarking Market
CF Benchmarks, a subsidiary of crypto exchange Kraken, saw a massive increase in demand for its indices amid a boon in spot Bitcoin ETFs. The United States and Hong Kong are major financial hubs bringing exposure of already established institutional investors base to Bitcoin.
The company said it represents almost 50% market share in the crypto benchmarking market as a result of launch of spot Bitcoin ETFs in the U.S. in January and in Hong Kong last year. It provides data for about $24 billion in crypto ETFs, primarily BlackRock’s iShares Bitcoin ETF with $16.2 billion AUM.
CF Benchmarks expects its revenue to almost double this year, as per the rising demand for spot Bitcoin ETF. The last available revenue data indicates it reached £6 million ($7.5 million) in 2022. In addition, the firm plans to expand headcount by around a third to more than 40. Kraken acquired CF Benchmarks in 2019.
South Korea and Israel Are Next in Crypto ETFs Race
CF Benchmarks chief executive officer Sui Chung sees them working with crypto ETFs issuers in South Korea and Israel next. South Korea has one of the largest crypto users, with high trading volumes impacting crypto prices.
“South Korea is a market where ETFs have become the wrapper of choice for long-term savings. It is also a market where digital assets have gained a high degree of adoption,” said Sui Chung.
The company expects Hong Kong-based spot Bitcoin and Ether ETFs to witness $1 billion in funds under management by year-end.
CoinShares head of research James Butterfill revealed Hong while other markets suffer outflows from digital asset products, Hong Kong saw $300 million in inflows so far this week.
Also Read:
- Pro-XRP Lawyers Say Ripple Will Lose Motion Against US SEC
- BitMEX’s Arthur Hayes To Buy These Cryptos In May
- Robert Kiyosaki Portrays Crypto Market Crash As “Time To Get Rich”
- Cathie Wood’s Ark Invest Eyes Stake in Tether as USDT Issuer Targets $500B Valuation
- Kraken Secures $500M at $15B Valuation, Eyes IPO in 2026
- Bybit Lists Ripple’s RLUSD Following BlackRock and VanEck Integration
- SWIFT Plans Stablecoin and On-Chain Messaging Pilot on Linea, Challenging Ripple
- Breaking: U.S. PCE Inflation Rises To 2.7% YoY, Bitcoin Bounces
- Solana Price Set for Q4 Surge as Canary Capital ETF Filing Meets Wyckoff Accumulation
- Avalanche Price Could Surge to $50 as Transactions Jump 200%
- CHMPZ Price Prediction:Will This Net-Zero Community Token be the Next Gem?
- Ethereum (ETH) Price Set for a rebound as Whales Accumulate $1.6B ETH and Outflows Hit $622M
- HYPE Price Prediction As Bitwise Files For Hyperliquid ETF – Is $55 In Sight?
- Shiba Inu Price Eyes Recovery From Demand Zone With Burn Rate Soaring Nearly 400%