Investors in the United States will now have the privilege of experiencing the expansion of the cryptocurrency. This follows the entry of Bitcoin Tracker One (CXBTF) and exchange-traded note (ETN), which are long overdue given the rampant growth of the cryptocurrency community. A report by Bloomberg indicates that American investors can trade with the CXBTF ticker while quoting in U.S. dollars.
Previously, the Bitcoin Tracker One product presented by a parent company of CoinShares Holdings was only available in euros and the Swedish Krona. However, traders will now see foreign-listed assets in US dollars whenever they chose to purchase the so-called F shares.
The introduction of BTC ETN will give exposure to Bitcoin exchange-traded fund (ETF)
The new move is not only a big win for the US Securities and Exchange Commission (SEC) but also for the BTC exchange-traded fund (ETFs) proposals. A majority of them have suffered rejection by the SEC but the ETN seems to present a soft opening for them. However, the SEC has remained tight-lipped regarding the approval of BTC ETF.
There has been a serious regulatory climate of the Bitcoin in the US in the recent past according to the CEO of CoinShares Ryan Radloff. Nonetheless, everyone investing in the products will have a different experience which is worth trying. In any case, the Bitcoin Tracker One could act as an alternative to the Bitcoin Investment Trust (GBTC), a product offered by Grayscale.
But ETNs and ETFs are similar in some respects
The two products are primarily financial tools and have their differences. For example, while ETN, which serves as a debt instrument has the backing of investors, ETF’s backing is by an asset pool. However, they have some similarities one of the most notable being the fact that they provide an opportunity to invest in an asset. The investor does not necessarily have to own the asset. Their similarities provide a stable foundation for trading in Cryptocurrencies, which have to adhere to price volatility.
Meanwhile, it is worth noting the new route of purchasing Bitcoin exchange-traded notes will not only strengthen the cryptocurrency industry but it will also give confidence to the investors.
INTRO: – Investors in the United States will now have the privilege of experiencing the expansion of the cryptocurrency. This follows the entry of Bitcoin Tracker One (CXBTF) and exchange-traded note (ETN), which are long overdue given the rampant growth of the cryptocurrency community.