While many asset managers have been filing to securities regulators for crypto ETF trading, one from Brazil seems to have made headway.
In a recent press release, Hashdex said it will launch the world’s first crypto ETF named the Hashdex NASDAQ Crypto Index ETF. It will be available for trading on the Bermuda Stock Exchange (BSX). It is open to accredited investors except those from the U.S.
The ETF tracks the Nasdaq Crypto Index (NCI), which was developed by Nasdaq and Hashdex. The index is designed to represent the investable landscape of the cryptocurrency market through strict eligibility criteria. It rebalances quarterly to achieve a current representation of the market. It is maintained by Nasdaq’s calculation agent, CF Benchmarks.
BSX was chosen in light of Bermuda’s advanced regulation of the digital assets market. Now, with the beginning of trading, the Hashdex Nasdaq Crypto Index ETF marks the beginning of a new era in the global cryptocurrency market.
Exposure to the Nasdaq Crypto Index is also available to Brazilian investors through a family of feeder funds managed by Hashdex and available in the country’s main investment platforms.
“With support from Nasdaq, Nasdaq’s calculation agent CF Benchmarks, and BSX, we’re delighted to bring to market the world’s first crypto ETF. This is a great achievement that shows the maturity of the cryptocurrency market, which garnered a much higher level of respect in 2020. In addition, the launch also consolidates our presence as a relevant global player in this segment”, says Marcelo Sampaio, CEO of Hashdex. “The product should also accelerate the entry of institutional investors in crypto, a trend that has gained incredible momentum in the past months.”
“Institutional interest in Digital Assets is growing rapidly, which necessitates the creation of an adaptable industry standard index that can both accurately represent the market and remain a relevant benchmark as the asset class matures,” said Stephen Koshansky, Head of Digital Asset Index Products and Research at Nasdaq. “Nasdaq has worked closely with Hashdex to design criteria for a rules-based methodology that we believe accomplishes these objectives.”
This listing should immediately appeal to institutional investors from the South American continent as the world’s centre of liquidity still hinges on the U.S. market.
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