Fidelity Investments has received regulatory approval to launch a spot Bitcoin ETF in Canada.
SEMI-SHOCK: Fidelity launching a spot bitcoin ETF in Canada this week. Didn’t know about this. Will easily be the biggest asset manager to date with a bitcoin ETF. pic.twitter.com/H2XJRBY3O6
— Eric Balchunas (@EricBalchunas) November 30, 2021
On November 17, the asset manager with $11.1 trillion in assets received approval to operate in Canada as a Bitcoin custodian.
According to Bloomberg analyst Eric Balchunas, the move puts the SEC in an awkward position. For one of the industry’s largest players, the regulator’s stance left no choice but to launch the product in a neighbouring country, he explained.
This should be embarrassing for the SEC that one of America’s biggest, most storied names in investing is forced to go up North to serve its clients. But it prob won’t matter.
— Eric Balchunas (@EricBalchunas) November 30, 2021
The actively managed Fidelity Advantage Bitcoin ETF has the ticker FBTC. The structure will buy ‘physical’ bitcoins.
In September, company representatives at a meeting with officials from the SEC presented arguments in favour of approving the spot Bitcoin ETF. The Commission began reviewing the company’s corresponding application in May.
Earlier, Grayscale conceded that the SEC violated the law in approving futures Bitcoin ETFs.
In February, Canada became the first in the world to approve an exchange-traded fund based on the first cryptocurrency. In April, regulators in the country granted permission to launch Ethereum-based products.
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