Investment

The Canadian Bitcoin ETF attracts investments of over $400 million in 48 hours

In just 48 hours, North America’s first ever Bitcoin exchange traded fund attracted over $400mln in investment.

In early February, the Ontario Securities Commission (OSC) gave Intent Investments the all-clear to launch a Bitcoin exchange traded fund and eventually launched the product on February 18.

Bitcoin ETF of Intent Investments was trading on the Toronto Stock Exchange under the tickers BTCC.B and BTCC.U. The first is the non-currency hedged unit of the Canadian dollar denominated ETF and the second is the non-currency hedged unit denominated ETF of the US dollar.

The ETF will invest directly in physically settled Bitcoin and not derivatives, as the investment firm’s statement summarizes, which will allow investors access to the preeminent cryptocurrency without needing to keep the BTC in their own digital wallets. The Bitcoin ETF is sponsored by a physically developed BTC.

“We are so happy to be able to offer this innovation to investors, making the process of owning Bitcoin easier than ever. We believe Bitcoin, as the first and largest asset in the emerging cryptocurrency ecosystem, is poised to continue its growth trajectory and adoption as an alternative asset, further cementing the investment opportunity it presents,”

Purpose CEO and founder Som Seif said in a statement.

Clearly, investors want in

In the 48 hours following the start of Bitcoin ETF trading on the Toronto Stock Exchange, over $400 million was invested in EFT shares.

Senior ETF analyst Eric Balchunas of Bloomberg noted that, on its first day of trading, the Canada Bitcoin ETF was the most traded ETF in the world.

In its first few days of existence, the success of Canadian Bitcoin ETFs is a good sign of the cryptocurrency space, but American investors will hope that in the future the US Securities and Exchange Commission will change its tune towards cryptocurrency ETFs.

Several companies have filed for and failed to get approval for Bitcoin ETFs in the past, with the SEC usually citing security concerns.

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