Switzerland Approves First Spot Bitcoin ETF, Targets November Listing
Summary
- Switzerland’s financial regulator FINMA said it had approved the 'Bitcoin Fund ETF' (BBIT).
- It said BBIT will directly hold spot Bitcoin and is pursuing a November listing on Switzerland’s SIX Swiss Exchange.
- Public sales will be limited to Switzerland, allowing retail investors to use the ETF to invest in Bitcoin price movements.
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Switzerland has approved its first spot Bitcoin exchange-traded fund for retail investors. Unlike Bitcoin investment products in Europe that are structured as debt securities, the fund keeps its assets separate from those of the asset manager.
BIT Asset Management said on October 22 that the Swiss Financial Market Supervisory Authority, or FINMA, approved the Bitcoin Fund ETF, which will trade under the ticker BBIT. The firm is pursuing a November listing on the SIX Swiss Exchange. Public sales will be limited to Switzerland.
BBIT will hold spot Bitcoin rather than futures or derivatives. Investors will be able to trade the ETF on the stock market and gain exposure to Bitcoin price movements without having to manage a crypto wallet themselves.
FINMA announced the approval on October 20. The regulator said it granted an exemption from diversification rules because Bitcoin has a longer trading history and higher trading volume than other cryptocurrencies. In 2021, FINMA allowed funds for qualified investors that invest in multiple crypto assets. This time, it opened a single-asset Bitcoin product to retail investors.
