North America’s first Bitcoin Exchange Traded Fund (ETF) has already amassed $421 million in assets since it began trading on Thursday.
Bloomberg ETF reporter Eric Balchunas tweeted that the Purpose Bitcoin ETF (ticker BTCC) is currently “crushing our estimate.” He went on to say “If it were to keep up this pace it will be the biggest ETF in Canada in 20 days.”
STUNNING: The Canada Bitcoin ETF $BTCC already has collected $421m in assets first two days (crushing our estimate). Proportionally speaking it is the equiv of a US ETF taking $8b in first two days. If it were to keep up this pace it will be the biggest ETF in Canada in 20 days. pic.twitter.com/ESIMIiy7qy
This month Canada approved two Bitcoin Exchange Traded Funds. Purpose’s ETF launched on Wednesday, trading $80 million worth of shares in its first hour and $165 million in its first day. By the end of the next day, it had amassed $421 million.
Evolve launched a second Canadian Bitcoin ETF on Friday. A third may soon arrive through CI Financial, a firm that yesterday filed preliminary prospectuses for its own Bitcoin ETFs. and yet another through 3iQ, a firm that filed a preliminary prospectus for an ETF last week.
Evolve with Purpose
Evolve is currently playing second fiddle to Purpose. Purpose’s market capitalization (the value of its listed securities) currently sits at $2.6 million USD at the time of writing. Evolve, in contrast, is valued at $1.3 million.
Evolve has seen higher growth over the last day though. Its price is currently at $27.17, after a 24-hour increase of almost 7%. In contrast, Purpose’s overnight gain was 4%.
While it's too early to say which will come out top, there was certainly a bigger frenzy around Purpose, which Balchunas said was the most traded ETF in Canada on its first day. Evolve could claim no such title, though it still penetrated the top 20 in its opening day at a respectable eighteenth place.
Today is no different, it's even more dominant as $BTCC already seeing $100m in volume in 30m, that's 6x the #2. Also, they have company as $EBIT (Evolve bitcoin ETF) is also now trading, curr 18th. Confirms just how potent a US bitcoin ETF would be. pic.twitter.com/hchMCX2NcI
For investors looking for a low risk way of riding Bitcoin’s bull run, ETFs provide an auditable investment vehicle that basks in the full light of regulatory headlamps should anything go seriously wrong, either with Bitcoin’s price or the security of its blockchain.
Currently, the US has no approved Bitcoin ETFs. The next best thing are Bitcoin trusts like Grayscale’s, though these often charge high management fees.
To date, the US Securities and Exchange Commission hasn’t authorized a Bitcoin ETF in the country yet. However,since the resignation of former US SEC chair Jay Clayton, companies such as VanEck andValkyrie Digital Assets have reapplied for ETFs.
If Canada’s ETFs continue to be successful, that could encourage the US regulators to reconsider a Bitcoin ETF.
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
Nasdaq-listed healthcare technology firm Semler Scientific was valued at a razor-thin premium compared to its Bitcoin holdings on Tuesday, according to the company’s website.
The firm’s mNAV, or multiple-to-net asset value, was recently 1.07. That means the company’s $498.5 million enterprise value—accounting for Semler’s market cap, debt, and cash balance—was slightly above that of its 4,449 Bitcoin worth $466 million.
Matthew Sigel, head of digital assets research at VanEck, told Decrypt that...
JP Morgan Chase & Co. unveiled its plans to debut a so-called deposit token, JPMD, on Tuesday, just one day after a social media post ignited widespread speculation about the digital asset.
The U.S. investment bank is expected to transfer an undisclosed amount of JPMD to cryptocurrency exchange Coinbase in the coming days, Naveen Mallela, global co-head of JP Morgan’s blockchain unit Kinexys, said Tuesday in an interview with Bloomberg News.
JP Morgan defines deposit tokens as “commercial bank...
Fold has entered into an agreement to issue and sell $250 million new shares of its stock, with the aim of purchasing more Bitcoin, the company said Tuesday in a statement.
The publicly traded Bitcoin financial services firm plans to sell shares of its common stock to pre-selected investors and institutions rather than on a public exchange. The Phoenix-based company has not set a timeline for its issuance and sale of the shares.
Fold shares are trading at $4.57, down nearly 3%, according to Y...