Cryptocurrency investment managers, ETC Group, are expanding their Bitcoin (BTC) exchange-traded product by offering it in the United Kingdom after harnessing Swiss market rules to bypass more rigorous British regulatory conditions.
The ETC Group Physical Bitcoin ETP, which trades under the ticker symbol, BTCE, will begin trading on the Aquis Exchange in London and Paris on June 7, the company announced on Tuesday.
BTC will become the first cryptocurrency ETP to trade in the United Kingdom.
Bradley Duke, CEO of ETC Group, said the product is used by investors as an “effective hedge against inflation.” He stated:
“ETC Group provides exposure to Bitcoin, Ether, and Litecoin through our 100% physically backed cryptocurrency ETPs and bringing our flagship bitcoin product to Aquis Exchange was a logical step as institutional demand for exposure to cryptocurrencies is growing around the world.”
Since launching its Bitcoin ETP in Germany in June 2020, ETC Group has traded $5.4 billion worth of cryptocurrencies, underscoring the continued growth of digital-asset investing among institutions.
The arrival of so-called “smart money” investors has propelled Bitcoin and altcoins into the limelight. However, their involvement in the market has added another layer of uncertainty to Bitcoin’s post-halving price targets. On-chain analysis shows that most of the selling going on in BTC, especially during the market crash that happened in May 2021, came from new market entrants.
Meanwhile, in the U.S, fund issuers are lining up to convince the United States Securities and Exchange Commission (SEC) to finally approve a Bitcoin exchange-traded fund (ETF). Six high-profile funds are currently under review by the U.S. securities regulator, with the first decision scheduled for later this month.
What this means
With cryptocurrency products being traded on recognized exchanges such as Aquis Exchange, the notion of Bitcoin being a speculative asset is dismissed. Since more investors are demanding cryptocurrency-based investment products, it means investors are seeing the tremendous value the market holds and how it is a hedge against inflation just like a popular commodity asset, Gold.