The First Bitcoin Spot ETF is Launched in Europe
A Bitcoin ETF, also known as an exchange traded fund, is a fund that can be bought on the stock exchange, similar to stocks. In the case of a Bitcoin spot ETF, this means that investors can have direct exposure to Bitcoin without having to create accounts on exchanges or deal with complicated wallets.
This opens up opportunities for traditional investors to participate in the cryptocurrency market. Jacobi Asset Management, a wealth management firm, is now offering a Bitcoin ETF on the Euronext stock exchange in Amsterdam. The ticker symbol for the fund is BCOIN, and its official name is Jacobi FT Wilshire Bitcoin ETF.
Jacobi received approval from European regulators in 2021, but the actual launch was delayed due to events such as the collapse of the Terra (LUNA) ecosystem and the drama surrounding the crypto exchange FTX.
A Catalyst for Bitcoin Adoption
Jacobi is also collaborating with other companies to enable trading of the ETF. For example, the massive asset manager Fidelity is responsible for storing the bitcoins, and the Dutch company Flow Traders is engaged as a market maker.
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Martin Bednall, the CEO of Jacobi Asset Management, had the following to say about the launch:
“This fund is designed to provide institutional investors with simple, secure, and transparent access to Bitcoin while also meeting their sustainability requirements. We believe that this ETF launch will be the catalyst for institutional adoption of digital assets.”
Now, we await Bitcoin ETFs in the American market. Numerous applications have been submitted to the U.S. Securities and Exchange Commission (SEC), but a decision is still pending. If Bitcoin spot ETFs also receive regulatory approval in the United States, it could potentially provide a significant boost to the BTC price.