First spot ETF for Bitcoin set to debut in Europe

Jacobi Asset Management, which is launching the spot ETF, had earlier got approval, but it got postponed by a year for multiple reasons.

The Euronext Amsterdam exchange will see the launch of the first spot ETF for Bitcoin this month. Jacobi Asset Management is backing the Bitcoin ETF. It was supposed to be launched a year ago, in 2022 but had to be postponed for many reasons.

The asset management company has stated the time wasn’t appropriate for the launch in 2022, with multiple crypto firms reporting bankruptcy. But, it implied that the demand in crypto has improved since then.

The ETF called the Jacobi Bitcoin ETF, has its custody backed by Fidelity Digital Assets. Earlier, European exchange-traded products were usually traded as exchange-traded notes (ETNs). Jacobi has made a significant change by moving entirely to an exchange-traded fund (ETF).

Peter Lane, Jacobi Asset Management’s CEO, said there was considerable misinformation and misuse around ETNs. The Bitcoin ETF has been authorized under the jurisdiction of Guernsey for its many benefits.

“[Guernsey’s] flexibility and willingness to understand the complex detail has allowed the promoter to launch a fund vehicle that benefits from regulated fund status when other European jurisdictions are unable to do so,” said David Crosland, a partner in law firm Carey Olsen.

The crypto industry has broadly welcomed the upcoming launch of the ETF. Most senior executives considered it a laudable initiative considering the strict regulatory rules in Europe.

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