Two months after its Bitcoin trust started trading stocks, Canadian investment manager Ninepoint Partners plans to convert its offering into an exchange-traded fund.
In a March 3 announcement, Ninepoint said the company would hold a vote for shareholders to decide whether to use its existing Bitcoin (BTC) Trust to convert to an exchange traded fund or ETF on the Toronto Stock Exchange. The company said the move should provide a better trading price and increased trading liquidity. Investors can vote on this issue on April 19th.
“Ninepoint’s Bitcoin Trust IPO was the largest in Canadian history and raised $ 180 million, so we’ve had great success with this asset class,” said James Fox, Co-CEO of Ninepoint. “Not only do we have extensive experience with ETFs, we also have leading expertise in digital assets. We aim to play a leading role in this industry in the years to come.”
The company said that if successful, the Ninepoint Bitcoin ETF would trade on the Toronto Stock Exchange under the ticker symbol for its Bitcoin trust: BITC.U for US dollars. However, Ninepoint would change the ticker BITC.UN for Canadian dollars to BITC.
Ninepoint wants to convert its existing BTC trust because other investment firms are currently capitalizing on the previously untapped ETF market for cryptocurrencies in Canada. After Purpose Investments launched its own Bitcoin ETF on February 18, the fund reached a volume of more than USD 529 million. Evolve Funds Group also announced yesterday that they had a Prospectus filed with Canadian regulatory authorities to get approval to trade an Ether ETF.
–
