Yesterday, the first spot Bitcoin ETF in Europe was launched on the Amsterdam Euronext.
This is the Jacobi FT Wilshire Bitcoin ETF, and it was launched at Euronext Amsterdam.
Summary
Europe: Jacobi FT Wilshire Bitcoin ETF
The Jacobi FT Wilshire Bitcoin ETF (BCOIN) is an exchange-traded fund based on spot Bitcoin, i.e. collateralised directly in BTC.
It is the first genuine BTC-collateralised ETF to be tradable on a European exchange.
It was launched by Jacobi Asset Management, a European ETF issuer that specifically serves institutional investors.
In the official press release, Jacobi states that the initiative is also accompanied by a decarbonisation strategy.
The Jacobi FT Wilshire Bitcoin ETF is the first Article 8 SFDR-compliant digital asset fund due to its decarbonisation strategy, which includes a built-in renewable energy certificate (REC) and verifiable solution that enables institutional investors to meet ESG targets.
The ETF is regulated by the Guernsey Financial Services Commission (GFSC), and is traded under the ticker BCOIN.
Custody services are provided by Fidelity Digital Assets SM, with Flow Trader acting as market maker and Jane Street and DRW as Authorised Participants. The fund’s benchmark, the FT Wilshire Bitcoin Blended Price Index, is provided by Wilshire Indexes, whereas the REC solution was created in collaboration with digital asset platform Zumo.
The price of Bitcoin
Yesterday at the time of publication of the news, the price of Bitcoin had only risen from $29,300 to $29,400, although later in the day it had risen to over $29,460.
In the course of the day it then returned to $29,300, before falling below this threshold and even below $29,200.
Since 24 July, Bitcoin’s price has been relatively non-volatile by its own standards, continuing to lateralise in a very compressed range between $29,000 and $30,000.
The news of the spot Bitcoin ETF on the Amsterdam exchange was also not among the most anticipated, because the focus is on the US exchanges, and in particular on BlackRock’s application.
Moreover, the European market is not even among the most important for the crypto sector, which is dominated by the American and Asian markets.
The comments
Jacobi Asset Management CEO Martin Bednall commented:
“It is exciting to see Europe moving ahead of the US in opening up Bitcoin investing for institutional investors who want safe, secure access to the benefits of digital assets using familiar and regulated structures like our ETF.
Unlike other products in the European market which are debt instruments, our fund owns the underlying asset directly. Jacobi is proud to be supported by Tier1 partners at the forefront of this digital asset market evolution whilst also pioneering an innovative, environmentally sound solution for European investors.”
Wilshire Indexes CEO Mark Makepeace added:
“The launch of the Jacobi FT Wilshire Bitcoin ETF is an important milestone for the digital asset industry and a transformative moment for the global financial industry. We are excited about the partnership with Jacobi and, as a leader in the development of institutional grade digital asset benchmarks, we are committed to helping accelerate the advancement of the entire digital asset ecosystem.
The Jacobi FT Wilshire Bitcoin ETF offers an ESG-aligned digital asset solution where environmentally conscious ETF buyers can consider Bitcoin within their investment portfolio, as well as independently audit the environmental claims.
Jacobi’s solution differs from carbon offsetting products by quantifying the electricity consumption attributable to Bitcoin in the ETF and purchasing equivalent RECs, the standardised instrument for procuring clean power. This provides digital proof of RECs, transparently recorded on a blockchain.”
Zumo’s Environmental Manager Kirsteen Harrison continued:
“The decarbonisation of crypto is one of the most pressing challenges facing the nascent digital assets sector, and there is increasing pressure on all businesses to have credible plans to decarbonise.
We’ve been working closely with Jacobi Asset Management to help them build out an ESG-aligned, future-proofed crypto offering for their customers. It’s hugely exciting to see it come to life in the shape of Europe’s first Bitcoin ETF. We’re creating the investment products of tomorrow – what a moment for the industry.”
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