Purpose Investments has been cleared by Canadian securities regulators to launch Purpose Bitcoin ETF. It is designed to provide investors with exposure to Bitcoin, by investing directly in physically settled Bitcoin.
“Bitcoin has been gaining popularity among individual and institutional investors for years now, however it remains a difficult asset to gain efficient and secure exposure to,” said Som Seif, founder and CEO of Purpose Investments. “Purpose Bitcoin ETF will change the landscape for investors by giving them a simple, efficient and affordable way to directly access the cryptocurrency.”
Similar to physically backed gold or silver products, the ETF will always be backed directly by physically settled Bitcoin holdings. Bitcoin holdings are kept in cold storage. Purpose Investments is working Gemini Trust Company as sub-custodian and CIBC Mellon Global Securities Services Company as fund administrator.
Purpose Investments worked in close coordination with the Ontario Securities Commission (OSC) through a confidential filing process through a series of meetings and presentations over the course of many months to finalize the launch of the ETF.
“The OSC was a crucial working partner in the launch of Purpose Bitcoin ETF and we are grateful for their willingness to work with us through this process. Their cooperation and guidance made it possible for us to move forward on getting this novel ETF into the hands of investors,” Mr. Seif added.
The ETF’s daily NAV will be priced based on the daily spot price of the TradeBlock XBX Index.
