Europe Set to Launch First Bitcoin ETF After Market Delay
Following a year-long delay caused by unfavorable market conditions, Europe is finally preparing to launch its first bitcoin exchange-traded fund (ETF) by the end of July.
Jacobi Asset Management had to postpone the launch of their ETF, initially planned for 2022, due to negative events in the crypto space, including the crash of the terra-luna project and the bankruptcy of cryptocurrency exchange FTX.
However, with the demand for bitcoin investments shifting, the ETF is now on track for listing. In contrast to previous digital asset exchange-traded products (ETPs) in Europe, which structured as exchange-traded notes (ETNs), Jacobi’s offering is an ETF that provides investors with direct ownership of underlying assets rather than debt securities. Authorities have authorized the bitcoin ETF in Guernsey, deliberately selecting the jurisdiction for its flexibility and ability to evade regulatory challenges linked to the European Union.
The move marks a significant development in Europe’s growing digital asset market, with substantial flows and assets already observed in European digital-asset ETPs.
Clever Robot News Desk 17th July 2023
