Closed-end cryptocurrency investment Fund The Bitcoin Fund has been added to the listing of the Toronto stock exchange.
The Manager of investment funds 3iQ stated that the Bitcoin Fund, approval for the launch of which was received
from the Ontario securities Commission (OSC) in October, it began trading on the Toronto Stock exchange (TSX).
The Fund operates on the same principle as an ETP: investors buy shares of the Fund and get the opportunity to benefit from changes in the price of the underlying asset. The Fund tracks the value of BTC using an index jointly developed by MV Index Solutions (MVIS), a subsidiary of VanEck Europe, and cryptocurrency data provider CryptoCompare.
The Fund is divided into two types of shares: class A, intended for all types of investors, and class F for institutional players. Only class a shares are listed on the Toronto stock exchange. 3iQ President and CEO Fred Pye said the total value of class a shares is about $14 million.
MVIS managing Director Thomas Kettner said that listing the Bitcoin Fund on the stock exchange “will help strengthen the status of digital assets as a class.” 3iQ has been trying for more than three years to get approval to list the Fund for bitcoin on the OSC. 3iq cryptocurrency analyst Connor Loewen noted that the decision to list on the Toronto stock exchange was made due to the fact that the Fund already had OSC approval.
The TSX is the largest and most active stock exchange in Canada. Although other exchanges also add cryptocurrency-related companies to the listing, the TSX does it most actively. In February last year, the cryptocurrency broker Voyager Digital got
to the TSX listing through a reverse takeover of the public company UC Resources. In addition, in August 2018, the Galaxy Digital cryptocurrency Bank also got listed
3iq President Fred Pai expressed some concerns about the timing of the listing as the world continues to struggle with the coronavirus pandemic, which has severely affected financial markets.
“It is difficult to launch such a unique offer at a time when investors are worried about their health and capital protection,” he said. “However, long-term protection of purchasing power is exactly what bitcoin can provide.”