A new exchange traded fund designed to track the price of Bitcoin may be on its way to market. New paperwork has been filed with the SEC for the new ETF, titled Solid Bitcoin Trust, according to reports from ETF.com.
SolidX Partners Inc. says the Bitcoin within the ETF will be insured in case of theft, destruction or computer fraud, with the Bank of New York Mellon acting as custodian.
The new fund requires a rule change filing with SEC by the carrying exchange, due to Bitcoin’s status as a new asset type. The fund will kick off with an initial offering value at around $1 million.
Approval is pending based on the approval of the rule change filing; a precedent has since been set by the Winklevoss Bitcoin ETF, which the infamous brothers filed for on June 30. It’s anticipated that fund will receive approval by the end of 2016, with the SolidX ETF receiving approval by early 2017.
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