296 Interactions, 8 today
Teucrium Trading, an agricultural-focused fund provider, has filed an application with the SEC to open a Bitcoin ETF that will watch BTC futures.
Teucrium Trading, an agricultural-focused exchange-traded fund provider, intends to add Bitcoin to its ETF portfolio.
On Thursday, the company filed an application with the United States Securities and Exchange Commission to launch a Bitcoin (BTC) ETF that would track a benchmark of Bitcoin futures contracts.
The proposed ETF, dubbed Teucrium Bitcoin Futures Fund, is intended to provide investors with a way to obtain price exposure to the Bitcoin sector. If the SEC approves the new offering, Teucrium will sell securities that will trade on the NYSE Arca under the symbol BCFU.
The agreement would be settled in cash. “However,” the application states, “the Fund may from time to time trade in other exchange-listed Bitcoin interests based on the spot price of Bitcoin.” “Because the Fund’s investment objective is to track the price of the Benchmark Bitcoin Futures Contracts,” Teucrium said, “changes in the price of the shares may differ from changes in the spot price of Bitcoin.”
Teucrium, headquartered in Vermont, currently has a number of agricultural ETFs listed on the NYSE Arca, including the Teucrium Corn Fund, Teucrium Wheat Fund, Teucrium Soybean Fund, Teucrium Sugar Fund, and Teucrium Agricultural Fund.
The statement comes just days after the SEC issued an investor notice warning of the risks associated with some mutual funds that have exposure to Bitcoin futures. The commision emphasised Bitcoin’s status as a “highly speculative investment,” noting the market’s lack of oversight and exposure to theft or manipulation.