SolidX And VanEck Teamed Up to Launch Bitcoin ETF

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Companies investment firm VanEck and financial services company SolidX announced their partnership to launch the first bitcoin exchange-traded fund, a physically-backed bitcoin ETF that will be insured against loss or theft of bitcoin.

According to a press release, the arrangement is as follows; VanEck will market the ETF, while SolidX will act as sponsor. Both the companies confirmed that they have filed independently to list bitcoin ETFs on various stock exchanges.

The CEO, Jan van Eck, also the chief executive of VanEck indicated bitcoin to be a ‘digital gold’ that may make sense for investors’ portfolios. He also said that it is a reliable investment option.

Unfortunately, neither of the companies succeeded in launching the bitcoin ETF to date which, in turn, caused them to withdraw their previous attempts at the request of the U.S. Securities and Exchange Commission.

“We believe that collectively we will build something that may be better than other constructs currently making their way through the regulatory process. A properly constructed physically-backed bitcoin ETF will be designed to provide exposure to the price of bitcoin, and an insurance component will help protect shareholders against the operational risks of sourcing and holding bitcoin.”

Despite the regulatory restrictions they have encountered, Van Eck still showed optimism about the fund’s potential. According to the release, if finally approved by the regulators the new ETF would be listed on the CBOE BZX Equities Exchange.

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