Skip to main content

First Bitcoin ETF in Latam Debuts on Brazil Stock Exchange

bitcoin etf

The first Bitcoin ETF in Latin America made its debut yesterday on the Brazil Stock Exchange. Presented by QR Capital, a Brazilian blockchain investment firm, the ETF seeks to simplify Bitcoin exposure for institutions and companies. The ETF was approved by Brazilian regulators and is currently trading with the QBTC11 ticker.

Bitcoin ETF Makes It in Brazil

The first Bitcoin ETF initiative in Latam is already listed on the Brazilian stock exchange. Conceived by QR Capital, a blockchain investment firm and asset manager, its objective is to simplify Bitcoin access for institutions. This Bitcoin ETF product got its approval last March from the Brazil Securities and Exchange Commission.

According to QR Capital CEO Fernando Carvalho, their product is pioneering how companies approach cryptocurrency investments in Brazil. Carvalho stated:

We can see the market maturing in its search for safer and simpler bitcoin exposure options. Our bitcoin ETF is a landmark for both financial and crypto markets, once it is the convergence point between them. The Brazilian investor has now a regulated and robust choice to buy bitcoin.

While other Bitcoin-based ETFs were launched in Canada, this offering is unique in Latam. The product had a good starting session, with bitcoin prices recovering 7% during initial trading hours. QR’s Bitcoin ETF also features a relatively low administration fee of 0.75% annually, intended to entice small investors into entering the cryptocurrency investment world in regulated fashion.

US Lags Behind

Canada and Brazil are already trading Bitcoin ETFs in their markets. But similar filings in the US haven’t had the same luck. The SEC (Securities and Exchange Commission) has repeatedly denied filing after filing from different companies offering similar products. There are currently more than 7 filings from different companies seeking to offer this solution in the US stock market, and two for Ethereum-based variations.

The SEC has given several reasons for not greenlighting these proposals. Unregulated markets prone to manipulation and price volatility are a couple. However, Microstrategy and Grayscale have stepped in as a kind of unofficial replacement for these instruments, bringing indirect exposure to the underlying assets.

In any case, if a Bitcoin ETF arrives in US markets soon, it could greatly simplify companies’ access to Bitcoin. There are still major hurdles to overcome for institutions wishing to invest in crypto. An ETF would be a major solution for managers that don’t want to complicate things with custody liabilities and want to be protected by current market laws.

What do you think about the first Bitcoin ETF product approved in Brazil? Tell us in the comments section below.



from Bitcoin News https://ift.tt/3vY3GFp
Labels:

Comments

Post a Comment

Popular posts from this blog

Seven UK Companies Form Cryptocurrency Trade Body

Seven major crypto companies operating in the UK have announced the formation an independent cryptocurrency trade body. The group, Crypto UK, has stated that its principal aim is to “improve industry standards and engage policymakers.” Also Read:   Independent Ratings Agency Alerts Investors About Dangers of Tether Leading Cryptocurrency Companies form Crypto UK Trade Body Seven leading cryptocurrency companies operating the UK have formed an independent trade body tasked with developing self-regulatory standards for the cryptocurrency industry, in addition to “engag[ing] policymakers.” The members of Crypto UK are Coinbase, Etoro, Cex.io, Blockex, Commerceblock, Coinshares, and Cryptocompare – comprising trading platforms, exchanges, asset managers, merchants, comparison websites, and intermediaries from the cryptocurrency sector. “Regulation is Imminent” The Crypto UK chairman and managing director of Etoro, Iqbal Gandham, described the trade body’s mission as “promot[in...
41 comments
Read more

Mt Gox Creditors Updated, Trustee Says Rehabilitation Custodian Is ‘Currently Preparing to Make Repayments’

On August 31, 2022, the Mt Gox trustee Nobuaki Kobayashi explained in a recent letter that the rehabilitation custodian is “currently preparing to make repayments” to Mt Gox creditors. Trustee Updates Mt Gox Creditors — Repayment Date and Exchange Still Unknown Last week speculation and rumors concerning the release of 140K bitcoin ( BTC ) from Mt Gox littered social media platforms and headlines. Bitcoin.com News covered the situation six days ago as a number of people and Mt Gox creditors called the rumors “ fake news .” During that same period of time, a bitcoin whale transferred 10,000 BTC to unknown wallets, and a 2018 annotation , heuristics, and clustering methods show the funds likely originated from the June 2011 Mt Gox hacks. Following the mysterious whale transfer, last Wednesday, Mt Gox published an official update from the court trustee Nobuaki Kobayashi that explains the court is “currently preparing to make repayments” to creditors. Mt Gox creditors have been wait...
Post a Comment
Read more

International Crypto Exchange Luno Adds Bitcoin Cash Trading

Luno exchange has added bitcoin cash trading to the platform following feedback from its client base. BCH is now only the third cryptocurrency available for trading on the exchange, in addition to BTC and ETH , but more options could be on the way once Luno determines that they are credible enough. Also Read: Bitflyer Adds Bitcoin Cash Trading Across Europe and the US Luno Adds Bitcoin Cash Trading Luno, the London-headquartered company formerly known as Bitx, recently announced that bitcoin cash was made available on its cryptocurrency exchange. Starting from Monday, September 23, customers at Luno are now able to store, buy and sell BCH on the platform. The reason given for adding BCH to the exchange is feedback from users in developing markets that convinced Luno to expand their offering from previously just BTC and ETH . Marcus Swanepoel, CEO of Luno, said , “We are in a new and exciting financial era. Developing economies are leading the large-scale adoption and appli...
Post a Comment
Read more