Having cracks on the establishment of OTC investment bitcoin funds (ETFs), separately, two companies — VanEck and SolidX decided to take a joint effort.
Investment company VanEck offers active and passive portfolio investment in “hard assets”, shares and loans of emerging markets, precious metals, fixed income and other alternative asset classes. As of the end of April VanEck managed assets worth around $46 billion, including mutual funds, ETFs and institutional accounts.
SolidX is a financial technology company founded in 2014 and based in new York. It develops cryptoprocta and services with a focus on software applications, and capital markets. The team works with the SolidX bitcoin ecosystem since 2011.
On Wednesday the company introduced a press release in which it announced its intention to launch “bitcoin ETF is physically supported and protected from loss of access and theft of digital currency”.
According to their plan, VanEck will sell the ETF and SolidX will act as a sponsor. What assets will be used to support the Fund, remains unknown. In the press release it says that if approved by regulators, the new ETF will be listed on the BZX exchange CBOE.
“It seems to me that bitcoin has become a full-fledged investment option, a kind of “digital gold” that can be used in the portfolios of investors,” said Jan van Eck (Jan van Eck), chief Executive officer of VanEck. “SolidX’s team has extensive experience with bitcoin, cryptography and capital markets. We are happy to attempt to bring to market an ETF on bitcoin together with them.”
Recall that the previous application for the creation of a bitcoin ETF company VanEck filed in December, and SolidX — in August last year. Both applications were withdrawn SEC in connection with the uncertainty regarding the timing of launching these funds. However, despite the regulatory obstacles, van Eck very optimistic about the potential of the Fund:
“We hope that together we will be able to create something that will be better than other models, which are now also trying to get approval. Properly designed physically supported bitcoin ETF is able to provide the impact on the price of bitcoin, and the insurance element will help to protect shareholders from the operational risks associated with the supply and storage of bitcoins”.