3iQ Partners with Coinshares on Bitcoin ETF Launch

Bitcoin coin with ETF text on coins
Bitcoin coin with ETF text on coins

3iQ’s Bitcoin ETF, in partnership with Coinshares, has started trading in Canada. The approval by regulators comes three weeks after filing the final prospectus.

3iQ, a Canadian investment fund manager, has launched a Bitcoin ETF in collaboration with Coinshares. The ETF has been approved by Canadian regulators three weeks after the firm filed its final prospectus. The ETF is now live for trading at the Toronto Stock Exchange (TSX).

The fund’s units will be traded in the U.S. dollar and under the ticker symbol ‘BTCQ.U.’ It will also be traded in Canadian dollars under the symbol, ‘BTCQ). The Bitcoin ETF in Canadian dollars opened trade at $11.89 but later dropped to $11.51 before recovering. The ‘BTCQ.U’ opened trade at $9.39, and it has since surged by 0.4%.

Increasing exposure to Bitcoin

3iQ stated that the Bitcoin ETF would increase the exposure of its customers to Bitcoin. This move will be advantageous since Bitcoin has been moving on a positive trend concerning the dollar. The growth of Bitcoin is an excellent tool for investors looking for long-term speculation investment tools.

In this Bitcoin ETF, the fee charged to investors will be at a low of 1%, and to the advantage of investors, they also announced they would redeem any additional expenses that were more than 0.25%.

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Canada’s is Embracing ETFs

Canada has taken the lead role in launching ETFs. Canadian regulators are looking more lenient towards approving ETFs compared to their U.S counterparts. The U.S. Securities and Exchange Commission has filings waiting for their approval on various ETFs. However, these filings are yet to be approved by the regulators.

However, investors and firms in the U.S. are hopeful that the regulator will change its stand regarding ETFs and make this market accessible to them. This optimism comes after the current chair of the SEC affirmed that the regulator was looking into adopting a transformative approach, which could include launching a Bitcoin ETF.

Canada launched the first Bitcoin ETF several months back, also under 3iQ. Canadian regulators have also recently approved three Ethereum ETFs. The three ETFs were backed by Purpose Investments, Evolve Funds Group, and CI Global Asset Management. The three ETFs are expected to start trading on the Toronto Stock Exchange this week.

Evolve Funds Group and Purpose Investments had started a Bitcoin ETF earlier on that now has more than $100 million assets under management. The 3iQ Bitcoin ETF launched in April last year has also garnered more than $1 billion. After this partnership, 3iQ and Coinshares will have a total of $7 billion assets under management.

Remember, all trading carries risk. Past performance is no guarantee of future results.

A journalist, with experience in web journalism and marketing. Ali holds a master's degree in finance and enjoys writing about cryptocurrencies and fintech. Ali’s work has been published on a number of cryptocurrency publications.