North America’s first bitcoin ETF, the TSX’s Target Bitcoin ETF, debuted today with nearly $100 million in sales.
Bloomberg Law’s report notes that ETF volume exceeded $80 million in the first hour of trading, but has since slowed significantly to about $15 million between BCTCC.B, which is denominated in Canadian dollars, and BTCC.U, a ticker denominated in U.S. dollars. At the time of publication BTCC.B had sold 7,905,000 shares at $10.28 and BTCC.U had sold 1,312,000 shares at $10.27.
In a press release today, the ETF’s founder and CEO, Som Seif, a focused investment provider, said his company believes bitcoin has a bright future.
As the first and largest asset in the emerging cryptocurrency ecosystem, we believe bitcoin will continue its growth trajectory and acceptance as an alternative asset, further strengthening the investment opportunities it represents, Seif said. The pursuit of leadership in cryptocurrency investing is indicative of Purpose’s goal to provide investors with alternative investment solutions that are not based on traditional benchmarks.
The Purpose Investments website states that the fund is currently backed by 85.34569077 BTC, with additional bitcoins purchased in proportion to the number of shares purchased. Oddly, Purpose’s website lists EtherCapital, an Ethereum-focused hedge fund, as a partner in its ETF offering.
The Target ETF may be the first Western exchange traded fund in North America, but it certainly won’t be the last. Last week, regulators in Ontario approved a second bitcoin ETF from Evolve Funds Group, and several other applications that had not been approved by regulators.
However, progress in the creation of ETFs in the US equity market has continued to stagnate. Although experts believe that the new government will increase the chances of supply, and many institutions have applied for BTC and other crypto products, there has been no green light yet.
For now, U.S. investors will have to make do with exchange-traded trust products, such as the Grayscale line of investment trusts, which continues to see a steady influx.
bitcoin news today,bitcoin stock price,is bitcoin safe,how much are bitcoins worth,Privacy settings,How Search works