Investors Can Now Gain Bitcoin Exposure with New Valkyrie Bitcoin ETF
In 2021, exchange-traded funds (ETFs) have been a huge part of the crypto story. Bitcoin and the larger crypto industry began to rally after the initial ProShares Bitcoin ETF was launched on October 20th.
Three days later, Valkyrie Bitcoin Strategy ETF launched and Bitcoin rallied to an all-time high of $68.7k. Now, less than two months after its first ETF was approved, Valkyrie has launched a second Bitcoin ETF.
The Valkyrie Balance Sheet Opportunities Bitcoin ETF
On Wednesday, December 15th, Valkyrie announced the launch of a second Bitcoin ETF, the Valkyrie Balance Sheet opportunities ETF (VBB).
The ETF will expose investors to publicly traded companies that directly, or indirectly, invest in, transact in or hold Bitcoin. MicroStrategy, Block (formerly Square), Tesla, Coinbase, and PayPal are among the most popular firms in this category.
Valkyrie’s second Bitcoin ETF product will give investors indirect exposure to Bitcoin. As part of the approval, the fund may invest up to 10% of its net assets in Bitcoin mining firm securities, and up to 5% in pooled investment vehicles in the U.S. that hold BTC.
Valkyrie Funds co-founder, Steven McClurg, explained that the fund will limit its exposure to mining companies. McClurg explained that the move will help mitigate the risk of firms dealing directly in the Bitcoin ecosystem.
At the time of writing, VBB shares are changing hands at $24.47, having fallen more than 1.5% since their launch on December 15th.
On the Flipside
- While there are several ETFs in the market, regulators have rejected applications for spot ETFs that would give investors direct exposure to Bitcoin.
Why You Should Care
Investors consider the increasing number of ETFs to be a step in the right direction, and believe that an ETF with direct Bitcoin exposure will soon receive the green light.
Read more: https://dailycoin.com/investors-can-now-get-bitcoin-exposure-with-new-valkyrie-bitcoin-etf/
Text source: DailyCoin.com
