Canadian investment manager 3iQ has become the first company to launch a Bitcoin (BTC)-linked fund on the Toronto Stock Exchange (TSX) after three years of legal dispute.
On Thursday, April 9, the Bitcoin Fund listed almost 1.5 million Class A ‘QBTC.U’ shares on TSX. The shareholdings of the fund are currently trading for about $11 each.
Tyler Winklevoss, an entrepreneur and crypto investor, tweeted that the launch of the Bitcoin Fund on TSX was historic since it is “the first public Bitcoin fund listed on a major stock exchange”. Gemini’s crypto exchange of Winklevoss twins acts as custodian of The Bitcoin Fund.
The TSX is Canada’s largest stock exchange with a monthly trade value of more than $97 billion. Crypto data company CryptoCompare and subsidiary MV Index Solutions of VanEck Europe provide the price indexes used by the fund.
3iQ also acts as the investment director and portfolio manager of the fund. The firm was established in the year 2012.
Regulatory Talks Lasted for Three Years
The fund’s issued shares offer a vehicle for mainstream investors to get exposure to Bitcoin without having to worry about security or custody in cryptocurrency. The fund also offers Class F shares which target institutional investors.
3iQ spent three years in negotiations with the Ontario Securities Commission (OSC) before approval was granted for the fund — the company had originally submitted its Bitcoin Fund prospectus in 2017.
TSX also lists the shares of Bitcoin mining company Hut8 and crypto bank Galaxy Digital, in addition to the exchange-traded Horizon Blockchain fund. As of October 2018, shares in the ‘Global Cryptoasset Fund’ of 3iQ also traded on the TSX mutual fund platform TSX NAVex.
3iQ Launches CAD Stablecoin
3iQ partnered with Mavennet during February to launch a stablecoin attached to the Canadian dollar that will be regulated by Canada’s Financial Transactions and Report Analysis Center (FINTRAC) from June.
The stablecoin, ‘QCAD,’ comprises a blockchain-launched ERC-20 token on the Ethereum (ETH).