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The Toronto Stock Exchange hosts a new Bitcoin Fund not marketed to investors.
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Toronto-based investment manager 3iQ Corp. has completed a $ 48 million offering in its Bitcoin Fund (QBTC.U), which is traded on the Toronto Stock Exchange. Just don’t tell the Americans.
A declaration Released today detailing the investment opportunity makes it very clear in bold above: NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES OR FOR RELEASE IN THE UNITED STATES. Although traded on the Canadian stock exchange, the value of the investment is denominated in US dollars.
While it’s not technically the long-awaited ETF (Bitcoin Exchange Traded Fund) that many institutional investors have been waiting for, this is a closed-end fund best described as an exchange-traded product. The price of bitcoin has increased by 5% in the past 24 hours, crossing $ 10,000 last night, and it was trading at $ 9,995 at the time of publication, according to OnChainFX.com.
The investment, co-led by Canaccord Genuity Corp. and Echelon Wealth Partners Inc., also including Leede Jones Gable Inc., Mackie Research Capital Corporation and PI Financial Corp. cannot be marketed to US investors as US Securities and Exchange The Commission has been reluctant to approve similar products for US investors.
A disclosure at the bottom of the statement reads: “This press release does not constitute an offer to sell or a solicitation of an offer to buy any stock in the United States. The securities have not been and will not be registered under the United States Securities Act. “Sorry Americans.
Although 3iQ’s Bitcoin Fund product is not registered to serve US investors, a number of US companies have been involved in its creation, including ARK Invest, Van Eck, and New York-based Doyle Capital. Both VanEck and Jack Tatar of Doyle Capital Management confirmed that they are also investors. T.The fund uses the MVIS index developed by VanEck.
“My goal and involvement in this product has been to provide an easy-to-invest product for investors looking to gain exposure to bitcoin,” says Tatar, who also curates the investment newsletter. Forbes Crypto Asset & Blockchain Advisor. According to Tatar, the Canadian fund’s shares can be purchased through some brokerage firms including Fidelity and Interactive Brokers.
Founded in 2012 to help build institutional grade investment products for cryptocurrencies, 3iQ Corp. acted as the Fund’s manager and portfolio manager.
The previously announced offering closed yesterday at a price of $ 11.87 per Class A unit and $ 11.63 per Class F unit for total gross revenue of approximately $ 48 million.
The Fund’s investment objectives are to provide investors who would otherwise not be allowed to hold bitcoins to gain exposure to the asset’s daily price movements and the opportunity for long-term capital appreciation.
The fund’s completion marks a milestone for Canadian institutional and accredited investors, as the United States Securities and Exchange Commission has rejected multiple requests for similar products, including Tyler and Cameron Winklevoss, Bitwise and most recently Wilshire Phoenix.
Participants have the opportunity to purchase up to a further 15% of the Class A units issued on the closing date of the Offer, for 30 days from today.
