Canadian investment manager wants to turn bitcoin trust into ETF
The Toronto-based investment firm plans to decide the issue in a vote in April.
Two months after launching equity trading of its bitcoin trust, Canadian investment manager Ninepoint Partners plans to convert its offering into an exchange-traded fund.
In an announcement on 3 March, Ninepoint said it would hold a shareholder vote to decide whether to convert its existing bitcoin (BTC) trust into an exchange-traded fund or ETF on Crypto Bull the Toronto Stock Exchange. The company said the move should provide a better trading price and increased trading liquidity. Investors will be able to vote on the issue on April 19.
„Ninepoint’s bitcoin trust IPO was the largest in Canadian history, raising $180 million
So we’ve already had a lot of success with this asset class,“ said James Fox, Ninepoint’s co-CEO. „Not only do we have extensive experience with ETFs, but we also have leading expertise in digital assets. We intend to be a leader in this industry in the coming years.“
The firm said that if successful, the Ninepoint Bitcoin ETF would trade on the Toronto Stock Exchange under the ticker symbol for its Bitcoin trust: BITC.U for US dollars. However, Ninepoint would change the ticker BITC.UN for Canadian dollars to BITC.
Ninepoint wants to convert its existing BTC trust because other investment firms are currently capitalising on the untapped cryptocurrency ETF market in Canada. After Purpose Investments launched its own bitcoin ETF on 18 February, the fund reached more than $529 million in assets. Yesterday, Evolve Funds Group also announced that it had filed a prospectus with Canadian regulators to obtain approval to trade an Ether ETF.