The London-based multi-asset investment platform Jacobi Asset Management has received approval from the Guernsey Financial Services Commission (GFSC) to launch Bitcoin (Bitcoin) Exchange-traded funds (ETF).
Jacobi Asset Management CEO Jamie Khurshid said in an interview with Cointelegraph that the clarity of regulation helps companies and institutions safely participate in Bitcoin investment without having to bear all the risks associated with technology and counterparties.
According to an official statement, Jacobi Bitcoin ETF is a centrally cleared, encryption-backed financial instrument supported by Bitcoin custody provided by Fidelity Digital Assets.
The GFSC’s approval allows investors to trade the Jacobi Bitcoin ETF on the traditional stock market in “all jurisdictions outside the United States and other jurisdictions with similar restrictions.”
Khurshid, also a former Goldman Sachs investment banker, emphasized that these funds are “centralized settlement of securities held by the main central securities depository (CSD),” a process familiar to traditional asset management companies. Speaking to investors in authorized jurisdictions, Khurshid said:
“We have established feeder funds around the world. These funds will only invest in the Jacobi Bitcoin ETF to meet domestic demand.”
In addition, the company intends to list the Jacobi Bitcoin ETF on the Cboe European Stock Exchange, which has not yet received listing approval from the Financial Conduct Authority (FCA), the UK financial regulator.
On September 6, Charles Randell, chairman of the FCA and payment system regulator, raised concerns about the lack of risk awareness of cryptocurrency investors in a speech written for the Cambridge International Economic Crime Symposium.
Randell highlighted the role of influencers such as Kim Kardashian in promoting unverified tokens on Instagram, which, according to him, could mislead unsuspecting investors. “Why should we supervise purely speculative digital tokens? Will the FCA’s intervention bring them a’halo effect’, thus triggering unrealistic expectations for consumer protection?”
On the other hand, the US Securities and Exchange Commission has taken active measures to allow the issuance of ETFs on traditional exchanges.Crypto Financial Services Company Bakkt will become the latest listed company On the New York Stock Exchange, the stock code is “BKKT”.