Tesla revealed to Elon Musk that they had bought $ 1.5 billion worth of cryptocurrency
Canada’s top securities regulator has launched the world’s first bitcoin trading fund, an investment manager said Friday, giving investors greater access to the cryptocurrency that sparked an explosion in trading interest. The Ontario Securities Commission has approved the launch of Purpose Bitcoin ETF, Purpose Investments Inc., a Toronto-based asset management company, said in a statement. The OSC confirmed the agreement in a separate statement to Reuters. “The ETF is the first in the world to invest directly in physically positioned Bitcoin, not derivatives, giving investors easy and efficient access to the so- an emerging cryptocurrency fund, ”Purpose Investments said.
Investors have been able to trade bitcoin using futures contracts on CME derivatives exchanges. They can also buy closed investment funds, such as the Bitcoin Fund on the Toronto Stock Exchange. ETFs could bring some benefits to investors, such as buying at net asset value rather than at a high price, said Arthur Salzer, chief executive officer of Northland Wealth Management
“I think the OSC is doing the right thing in ETF licensing,” Salzer said. “It gets rid of some of the negatives of existing funds “Bitcoin fell a record high of $ 48,975 on Friday. It has gained about 63% so far this year and has risen about 1,130 percent since mid – March 2020.
Tesla revealed to Elon Musk on Monday that they had bought $ 1.5 billion worth of cryptocurrency and would soon accept it as a payment method for its cars, while the cryptocurrency has been gaining acceptance. among mainstream finance companies.
In the United States, eight companies have tried without success since 2013 to create a bitcoin ETF, according to Todd Rosenbluth, director of ETF and mutual fund research at New York-based CFRA. Among the issues that the Securities and Exchange Commission appears to be focusing on is the potential for market manipulation and a process of seizure checks that verify that an asset is holding its stated assets.
“While some expect a Canadian ETF agreement to set the stage for one close to the U.S. term, we expect the new-led SEC to take the time to review some. the new films from VanEck and others, “Rosenbluth said. VanEck is a New York-based investment management company.
Gary Gensler, former chairman of the Futures Trading Commission, was named SEC chairman last month by U.S. President Joe Biden.