Hashdex, a Brazil-based regulated fund manager, has just signed an agreement with Nasdaq to launch the world's first exchange traded Bitcoin fund (ETF).
The Bermuda Stock Exchange (BSX), the platform on which this new investment instrument is expected to be launched, has reported the company approved the "Hashdex Nasdaq Crypto Index" on September 18 and plans to issue 3 million Class E shares.
Local news outlet Infomoney has reported the ETF is expected to be fully operational by the end of the year. Hashdex has reportedly decided to launch its Bitcoin ETF on BSX due to Bermuda's crypto-friendly regulations.
ETFs are a type of investment instrument that allow investors to expose their portfolios to certain assets without owning the underlying assets.
Nasdaq will disclose more details about the product when it is launched.
This would be the world's first Bitcoin ETF, as proposals submitted by the Winklevoss twins, Wilshire Phoenix and NYSE broker Arca have been rejected by the SEC.