QR Capital, the largest asset management firm in Latin America is all set to launch the continent’s first Bitcoin ETF. The new Bitcoin ETF would be launched on the Brazilian Stock Exchange on June 23rd with 100% Bitcoin exposure. The Bitcoin ETF will be launched in association with BTG Pactual, Easyinvest, Órama, Vitreo, Modal Mais, and Inter.
The new Bitcoin ETF would use CME CF Bitcoin Reference Rate, the same index used by CME for its Bitcoin Futures contract. QR Capital claims the new Bitcoin ETF would help those investors who don’t qualify to invest in funds with 100% allocation in BTC under new guidance from CVM, Brazilian Securities and Exchange Commission. The investment in an official statement said,
QBTC11 allows investors to protect themselves from foreign exchange risk by exposing themselves to a highly liquid dollarized asset – bitcoin, the largest of all cryptocurrencies, has a daily turnover of more than R$100 billion, or about 4 times its volume. B3. In addition, as an innovation in the market, the digital currency has a low correlation with other asset classes, which helps in diversifying the investment portfolio,
This would the second crypto ETF listing on Brazil’s stock exchange, the first listed product was HASH11, which offered exposure to a basket of crypto assets to traders.
Latin and North America is Increasingly Adopting Bitcoin Mainstream Products
Latin America is all set to launch its first 100% backed Bitcoin ETF later this month, on the other hand, North America became the first continent to approve and launch a Bitcoin ETF in the form of Purpose Group Bitcoin ETF. The first Bitcoin ETF turned to be a massive hit as the fund has accumulated nearly a billion dollars in Bitcoin.
The success of the first Bitcoin ETF also paved the path for other crypto-based ETFs in North America. At present, there are more than 5 cryptos ETFs listed on the Canadian stock exchange.