Valkyrie’s latest ETF offering has exposure to Bitcoin

Valkyrie, a crypto asset manager, has launched an exchange-traded mutual fund that offers exposure to Bitcoin on Nasdaq Stock Market.

Valkyrie stated Wednesday in a SEC filing that its Balance Sheet Opportunities ETF wont invest directly into Bitcoin (BTC), but that 80% of its net assets would allow exposure to the crypto asset via securities of U.S. businesses with BTC on them. These companies could include traders, custodians and crypto exchanges.

According to the filing, Valkyries ETF can invest up to 10% in securities of Bitcoin mining companies and up to 5% into securities of pooled U.S. investment vehicles that hold BTC. The shares of the fund listed under the ticker VBB were trading at $24.48, down more than 1.5% since Wednesdays launch.

The Valkyrie Balance Sheet Opportunities Exchange Trade Fund (Nasdaq : VBB). Todays launch on @Nasdaq Bio.
— Valkyrie (@ValkyrieFunds) December 15, 2021

The latest ETF filing by Valkyrie follows the launch of a Bitcoin Strategy ETF in Oct that offered indirect exposure to BTC and cash-settled options contracts. The Nasdaq currently trades the shares of the fund for $18.70. This is a drop of approximately 27% from Oct. 22.

Although the SEC has approved investment vehicles that are linked to Bitcoin derivatives (including one from Valkyrie, and one from ProShares), the regulator has yet to approve a crypto-related application. The United States is still considering several crypto ETF applications, while Canada has approved BTC ETFs by Fidelity.

Related: WisdomTrees spot Bitcoin ETF application is rejected by the SEC

Cointelegraph Markets Pro data shows that Bitcoins price rose to above $49,000, but it has fallen more 30% since Nov. 9, when it hit an all-time high of $69,000. The BTC price at the time of publication is $47,736.