The Euronext Amsterdam stock exchange, which is part of the pan-European Euronext marketplace, has launched its first Bitcoin exchange-traded fund.
Jacobi Asset Management, a digital asset management platform based in London, announced Thursday that it is planning to launch the Jacobi Bitcoin ETF on Euronext Amsterdam. Under the ticker “BCOIN”, the spot Bitcoin ETF will begin trading on Euronext Amsterdam Exchange.
Jamie Khurshid, Jacobi’s CEO and founder of the Jacobi Bitcoin ETF, told Cointelegraph that it is Europe’s first Bitcoin ETF.
“Our product is the first spot-or physical-backed Bitcoin fund. The fund is not permitted to lend, stake, or leverage any assets it owns. Khurshid stated that this is the first time investors in Europe will be able to purchase an exchange-traded Bitcoin product. He added that there are no other spot BTC ETFs in Europe, but other exchange-traded products.
Stephane Boujnah, Euronext CEO, confirmed that BCOIN would be the first spot Bitcoin ETF to ever be listed on Euronext. “This will be either the first Bitcoin ETF listed on Euronext or the first fund investing directly in Bitcoin. He stated that all other products in our segment are either exchange-traded notes or legal structures as debt instruments. Euronext has not yet provided a date for the launch of the ETF, but it will be available in July.
Jacobi was approved by the Guernsey Financial Services Commission in order to launch the Bitcoin ETF on October 2021, as previously reported.
Fidelity’s crypto arm Fidelity Digital Assets will provide custodial services to the Jacobi Bitcoin ETF, while Flow Traders (DRW) would act as market makers in order to facilitate trading. The announcement notes that institutional and professional investors from Europe will have access to the ETF at a 1.5% annual fee.
Khurshid, a former investment banker at Goldman Sachs believes the launch of the Bitcoin ETF will bring stability to the crypto markets amid a huge sell-off. He stated:
“We believe that this will remove the barrier of entry for investment firms that only invest in regulated products. It will also increase the adoption of digital assets, which will bring more stability to the industry and less influence from whales.
Jacobi’s Bitcoin ETF Launch in the Netherlands by Jacobi is a landmark in the global spot cryptocurrency ETF market. Amsterdam is Europe’s Top Sharing Trading Venue, and reportedly surpasses London in 2021.
Canada launched the Purpose Bitcoin ETF in Feb 2021. This was as previously reported. Australia launched its first crypto ETFs mid-May 2022.
Related: Why the US needs a spot Bitcoin ETF: 21Shares CEO
The global adoption of spot crypto ETFs is growing over recent years. However, the United States has yet to approve a physical-backed Bitcoin exchange traded fund. After being denied its request to convert Grayscale Bitcoin Trust’s Grayscale Bitcoin Trust into an ETF, crypto investment firm Grayscale filed a lawsuit against the U.S Securities and Exchange Commission.