Purpose Investments Fund launched a bitcoin exchange-traded fund (ETF) earlier this year, the first-such product to receive regulatory approval in North America. Since then, it has demonstrated an incredible appetite for such a product, breaking records in its first few weeks and now accruing $1 billion in assets.
“Less than two months after launching, the first North American Bitcoin ETF already reached $1 billion … in assets,” Bloomberg reported. “The product from Toronto-based Purpose Investments, ticket BTCC, has seen massive interest as investors clamor for crypto exposure, especially in an exchange-traded fund wrapper.”
In its first day of trading, the bitcoin ETF traded $200 million worth of shares — success that grew in the following days as the bitcoin ETF would eventually accumulate more than $500 million in assets as its first week ended.
The Purpose Bitcoin ETF cannot be traded on American stock exchanges due to U.S. Securities and Exchange (SEC) regulations. Several investment companies, including VanEck, Skybridge Capital, Galaxy Digital and Valkyrie Digital Assets, have submitted proposals to the SEC to offer bitcoin ETFs and are currently awaiting approval.
Speculators and experts continue to use the performance of the Purpose Bitcoin ETF on the Canadian market to predict how the American market will react whenever the SEC allows bitcoin ETFs to trade. Its performance, along with other recent developments in the space, promise a strong appetite for such a product in the U.S.