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Recent ETF filing included tracking securities in performance measuring index showing mining of both gold and digital assets.
Global investment management firm VanEck has applied to the launch of a new ETF. The exchange-traded Fund will invest in gold mining and Bitcoin mining companies. VanEck is one of the leading management firms with approx 482 billion worth of assets under management.
As per the document filed to the SEC on Thursday, the exchange-traded Fund will be focusing on securities in an index reflecting the performance of firms that indulge in gold and digital assets mining. The ETF would not directly or indirectly invest in cryptocurrencies. Although the application did not mention ticker or cost ratio in the document.
It’s not the first time for VanEck to file for an ETF. In November, the management firm filed an ETF application, but it was rejected by the SEC back then. The reason being the application for the ETF asked to buy BTC directly. The industry figures consistently advocated for the approval, but the regulator did not approve such a fund. The reason could also be taken as delaying such approval of ETFs during the groundwork by regulators crypto space commencing to come up with a more solid regulatory framework.
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A recent filing by management firms could be seen as taking advantage of ongoing US regulations fresh rounds. As it is expected that later this week, US President Joe Biden may sign an executive order that will set up a way for cryptocurrency strategies of the country. Those executive orders will have federal agencies that include the SEC to submit the reports of measures they have taken regarding cryptocurrencies this year. The financial regulatory authorities have come under fire lately for not clarifying cryptocurrency regulations properly.
Talking about VanEck, it announced the creation of its first cryptocurrency fund earlier this year. That Fund is then listed as an exchange-traded note or ETN in Deutsche Boerse Xetra of Germany and SIX Swiss exchange of Switzerland. The Fund has exposure to major cryptocurrencies like Bitcoin, Ether, Solana, Tron, Avalanche and many more.
In April 2021, a digital transformation ETF was also introduced by VanEck. That was a DApp that invests in companies that provide a stock of cryptocurrency exchanges, miners and other crypto-related firms. The launch of XBTF, the Bitcoin Strategy Fund, was also something the management firm did. XBTF invests in cash-settled futures contracts of Bitcoin.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
