Melanion Capital, a Paris-based alternative investment management firm, is about to launch its own exchange traded fund (ETF) focused on a basket of up to 30 stocks in cryptocurrency and blockchain sector, the Financial Times has learned.
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The Paris-based firm has already received an approval from the French regulator which means this will be the very first bitcoin-ETF fully complied with the EU standards also known as Ucits. According to Melanion Capital, all the tracked stocks are up to 90 per cent correlated to the price of bitcoin (EXANTE: Bitcoin).
"Most pipes of the traditional financial system stop at access to bitcoin. The ETF was a real challenge because of the sensibilities and politics currently surrounding bitcoin and bitcoin investing," said Melanion CEO, Jad Comair.
Particularly, the fund will be tracking stocks of Argo Blockchain, Riot Blockchain, Galaxy Digital, and Voyager Digital. The stocks are reportedly weighted based on how much they are correlated with movements in the bitcoin price.
iHodl recently reported that Goldman Sachs filed with the US Securities and Exchange Commission for an ETF focused exclusively on decentralized finance (DeFi). The ETF — if and when approved — will be called the Goldman Sachs Innovate DeFi and Blockchain Equity ETF.
The fund is passively-managed and seeks to track a specified index: the Solactive Decentralized Finance and Blockchain Index. However, it remains unclear which companies will be tracked by the index.
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