“The Jacobi Bitcoin ETF will be in a class of its own, fully regulated and built as an ecosystem of top tier providers.”
Across the pond, news broke today that the world’s first-ever Tier One Bitcoin ETF has been approved in Europe. Per the announcement, “Jacobi Asset Management has received approval to launch the world’s first tier-one Bitcoin ETF. The Jacobi Bitcoin ETF is a centrally cleared crypto-backed financial instrument, authorized by the Guernsey Financial Services Commission (GFSC) and with custody provided by Fidelity Digital Assets.”
It is a “crypto-backed” ETF, so it appears to be spot, rather than a futures ETF, which means Bitcoin will have to be held and custodied, hence Fidelity.
While again, it is not a US-based ETF, the fact that Fidelity will now be the custodian of a Bitcoin ETF is nothing short of monumental, unprecedented news. Jacobi will be listing the ETF on CBOE Europe, which is one of the largest pan-European equity exchanges. Jacobi is run by Jamie Khrusid, a former Goldman Sachs investment banker and “pioneer of regulatory transparency in financial markets.” He was ranked in the top 1000 most “influential people in global financial markets” by Exchange Invest in 2017.
Khursid spoke of the ETF stating: We are excited to be launching a new secure, transparent and accessible product to track the performance of Bitcoin. We are de-risking investments in crypto by removing the technology risk associated with the physical asset and the counterparty risk associated with traditional funds or tracker products that are unregulated leveraged debt instruments.”
He mentioned that with his firm Jacobi has collaborated with Europe’s leading regulators to create a Tier-One Bitcoin ETF to meet the high demand in Europe. He finished by saying: “This is an exciting moment for Europe as regulatory approval comes ahead of those waiting for a decision from the U.S. Securities and Exchange Commission.”
The ETF will allow investors to “participate directly in physically-settled Bitcoin.” The ETF is aimed at simple and secure investing and is backed by some of the “world’s leading regulated entities”. This being Fidelity, the American Wall Street giant who will custody the ETF.
Chris Tyrer, head of Fidelity Digital Assets said: “Greater diversity of investor interest has created significant demand for additional vehicles for exposure to help provide broader access to digital asset markets.”
This is a major step for Bitcoin, as the European market will drive demand even higher, and with the addition of Fidelity as custodian, we can be assured that the time for adoption of Bitcoin in the truest sense is upon us. With the Stock-To-Flow showing “clear skies” above for BTC and an SEC approval for a US-based ETF on the horizon, the sky is the limit for Bitcoin, as plan B mentioned today.
Clear skies🚀 pic.twitter.com/QQusv4slgw
— PlanB (@100trillionUSD) October 15, 2021
The post BREAKING: First Ever Tier-One Bitcoin ETF Approved in Europe appeared first on CryptosRus.