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Brazilian Stock Exchange approves two new crypto ETFs in Latin America



The Brazilian Securities and Exchange Fee, or CVM, accredited two cryptocurrency ETFs this week — one 100% Bitcoin and the opposite composed of 5 cryptocurrencies, in addition to Bitcoin (BTC).

For QR Asset Administration, supervisor of the Bitcoin-only ETF, the product might speed up the launch of an identical product in the USA, because the CVM, in addition to the Securities and Exchange Fee, or SEC, are a part of the Worldwide Group of Securities Commissions, or IOSCO.

Each ETFs can be traded on the Brazil’s Stock Exchange, or B3. In line with Brazil Journal, two of the nation’s major banks, Itaú and BTG Pactual, have already said to supply Hashdex’s ETF to their clients.

The QR ETF will commerce on the B3 with the ticker QBTC11, whereas the one from Hashdex may have HASH11 as its ticker. ETF HASH11 buying and selling is anticipated to begin this month, whereas QBTC11 ETF is anticipated to start in Q2 2021.

Within the case of QR ETF, the index used to calculate the worth of Bitcoin would be the Chicago Commodities Exchange.

Fernando Carvalho, CEO of QR Capital, holding firm of QR Asset, sees this motion as an necessary milestone for innovation in the Brazilian capital market. In inside communication with Cointelegraph, he stated:

“Our ETF, to be traded with the QBTC11 ticker, is a milestone in the Brazilian market. The asset ends up acting as a double hedge, as it is a digital commodity and at the same time, it is traded in dollars on the world market. Its price is unrelated with other asset classes, which means that it is increasingly being adopted by large managers and investors within diversified portfolios.”

Hashdex’s ETF will replicate the Nasdaq Crypto Index (NCI), an index developed by Nasdaq and Hashdex. In September 2020, the Brazilian Hashdex bought approval from the Bermuda regulator and along with Nasdaq, accredited the world’s first Bitcoin ETF — the Hashdex Nasdaq Crypto Index ETF.

Past Brazil, the one different nation to approve its personal Bitcoin ETFs is Canada.

NCI consists of six cryptocurrencies: Bitcoin, Ethereum (ETH), Stellar (XLM), Litecoin (LTC), Bitcoin Money (BCH) and Chainlink (LINK), and is rebalanced quarterly.

Custody of Hashdex’s belongings is made by firms comparable to BitGo, Coinbase, Constancy and Gemini, that are all mediated and controlled in the USA.

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