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The fund’s units started trading about three weeks after the investment manager filed a final prospectus with Canadian regulators.
The Bitcoin exchange-traded fund developed in collaboration with Coinshares by Canada-based hedge fund manager 3iQ is now open for trading.
In an announcement from 3iQ today, trading for the 3iQ Coinshares Bitcoin exchange-traded fund, or ETF, began on the Toronto Stock Exchange today. The fund’s units are trading in U.S. dollars under the ticker “BTCQ.U” and Canadian dollars under the ticker “BTCQ.” Trading opened at $11.89 for BTCQ before dipping to $11.51 and recovering, while units of the Bitcoin ETF in U.S. dollars opened at $9.39 and have since risen 0.4% at the time of publication.
The hedge fund manager stated that the ETF was designed to provide investors with exposure to Bitcoin (BTC) focused on the movement of the cryptocurrency’s value in dollars, as well as the potential for long-term capital appreciation. The maintenance fee for the Bitcoin ETF is 1%, but 3iQ stated that all other costs in excess of 0.25 percent will be absorbed.
Given the Securities and Exchange Commission’s (SEC) reluctance to approve local funds, Canada seems to have taken the lead in launching crypto ETFs in North America — while many remain optimistic given pro-crypto Gary Gensler’s recent appointment as SEC chair. 3iQ was behind the creation of Canada’s first Bitcoin fund, and the Bitcoin ETF’s final prospectus was filed earlier this month.
Several crypto ETFs have been authorised by Canadian regulators, including 3iQ’s and Coinshare’s funds. They approved the trading of Ether (ETH) ETFs from Purpose Investments, Evolve Funds Group, and CI Global Asset Management on local exchanges last week. Purpose and Evolve recently introduced Bitcoin ETFs, receiving about $1.3 billion and $100 million in funds under management, respectively.
3iQ’s first Bitcoin fund in Canada, opened in April 2020, has expanded to more than $1 billion. Coinshares and 3iQ have a combined $7 billion in funds under administration.