Brazilian Fund Hashdex & Nasdaq to Roll Out World’s First Bitcoin ETF
Hashdex, a regulated Brazilian fund, has entered into an agreement with Nasdaq to roll out the world’s foremost cryptocurrency exchange-traded fund (ETF) on the Bermuda Stock Exchange (BSX).
The stock exchange stated that it had given the green signal for the ‘Hashdex Nasdaq Crypto Index’ on September 18, disclosing that 3 million Class E shares will be disbursed for trading on the platform.
The partnership between Nasdaq and Hashdex was confirmed by the latter’s CEO Marcelo Sampaio.
As per media outlet Infomoney, the fund will go live and be available for trading on the BSX by the end of 2020. The report indicates that Hashdex opted to get listed in BSX due to crypto friendly regulations of Bermuda.
Exchange-traded funds provide exposure without a need to hold underlying assets, under regulated and insured environment.
Even though no additional details have been divulged regarding the ETF, Hashdex stated that the strategy and other prime info related to the product was published by Nasdaq on the launch date of the product. While speaking to popular Brazilian newspaper Oglobo, Sampaio opined that the launch of ETF would encourage institutional investment in the cryptocurrency industry.
Currently, Hashdex administers $46.40 million worth assets spread across four funds, including the one holding cryptocurrency assets. While KPMG is the firm’s auditor, Silvergate Bank is the primary financial institution.
Hashdex’ cryptocurrency asset custodians are Kingdom Trust, Xapo and Volt. Earlier this week, ex-Goldman Sachs executive and fund manager Raoul Pal forecast that the roll out of Bitcoin ETF in the US is also likely, stating:
“I’m going to give you the biggest front-running opportunity of your life: they will get an ETF across the line. There will be billions of dollars that pour into it.
Every pension plan will allocate some money to it. Every family office will allocate some money to it. And the more the price goes up, the more they will allocate.”
In the last few years, the US Sec (Securities and Exchange Commission) has turned down an application for Bitcoin ETF by Winklevoss twins, Wilshire Phoenix and NYSE broker Arca.