- August 17, 2023
- Posted by: [email protected]
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Europe’s financial landscape witnessed a groundbreaking event with the launch of the Jacobi FT Wilshire Bitcoin ETF on the Euronext Amsterdam stock exchange. Announced by London-based digital asset management firm Jacobi Asset Management, the launch took place on August 15, 2023, marking a significant milestone in the region’s cryptocurrency investment landscape.
The Jacobi FT Wilshire Bitcoin ETF, which was originally expected to start in 2022, is Europe’s first spot Bitcoin exchange-traded fund (ETF). This ground-breaking investment provides investors with a unique opportunity to obtain exposure to Bitcoin through a physical product backed by the cryptocurrency.
Trading under the ticker symbol “BCOIN,” the ETF was approved by the Guernsey Financial Services Commission in October 2021. Notably, Fidelity Digital Assets is tasked with managing the custodial aspects of the BCOIN ETF, ensuring secure storage of the underlying Bitcoin assets.
The Jacobi FT Wilshire Bitcoin ETF aims to differentiate itself by integrating environmental and social responsibility into its framework. The ETF incorporates a renewable energy certificate (REC) system, which quantifies the energy consumption of the Bitcoin network. The fund then purchases and retires RECs to offset its environmental impact, with these transactions being recorded on a blockchain service to ensure transparency.
To provide accurate market exposure, the ETF leverages the FT Wilshire Bitcoin Blended Price Index, which aggregates real-time average Bitcoin price data from select cryptocurrency exchanges. This innovative approach allows investors to tap into the Bitcoin market without the need for direct ownership or custody of the digital asset.
The launch of the Jacobi Bitcoin ETF underscores Europe’s progressive approach to cryptocurrency investment products. As compared to the United States, where approval for similar spot Bitcoin ETFs from major asset managers like BlackRock and Fidelity is still pending, Europe’s adoption of regulated structures like ETFs is gaining momentum.
According to Martin Bednall, CEO of Jacobi Asset Management, Europe’s proactive stance is a driving force for institutional investors seeking secure access to digital assets through familiar and regulated channels.
This landmark event follows the introduction of a Bitcoin Equities ETF on the Euronext Amsterdam exchange by Melanion Capital in June 2023. Unlike the spot ETF, the Bitcoin Equities ETF tracks the Melanion Bitcoin Exposure Index, which comprises a tailored basket of European and American stocks closely correlated to Bitcoin’s market price.
