Brazilian-regulated fund management company Hashdex has signed a deal with Nasdaq to launch the world's first exchange-traded digital asset fund on the Bermuda Stock Exchange.
According to local media InfoMoney, the Hashdex Nasdaq Crypto Index should be available on the Bermuda Stock Exchange by the end of the year.
It has sought to launch there due to the lax regulations of the island nation regarding cryptocurrency assets.
ETFs provide a structured and secured way for institutional investors to access commodity exposure without holding the underlying assets.
The report indicates that Bermudian officials have allowed the boxes to be traded on the exchange, adding that the product is expected to be live and to be traded before the end of the year.
Hashdex CEO Marcelo Sampaio expected that the launch of the ETF will accelerate the entry of institutional investors in the cryptocurrency sector.
And earlier this week, Raul Pal, CEO and former fund manager at Goldman Sachs, predicted that the launch of a US-traded Bitcoin fund was imminent.
Pal said: I will give you the greatest opportunity in your life ... They will get approval for an ETF. There will be billions of dollars to be spent. Each pension plan will allocate some money to it. Each family office will allocate some money to it. The higher the price, the more they are allocated.
In recent years, the US Securities and Exchange Commission (SEC) has rejected Bitcoin ETF proposals from the Winklevs and Wilshire Phoenix and the NYSE Arca brokerage firm .
(Amazon Fun Knowledge)
