VanEck registers for latest exchange-traded fund to monitor cryptocurrency and gold mining companies. VanEck, a financial services company with almost $82 billion in assets under management, has applied to the Securities and Exchange Commission (SEC) to launch a new exchange-traded fund that will invest in gold and Bitcoin (BTC) mining operations.
As per the SEC report filed on March 3, the fund will rely on shares in an index that evaluates the overall performance of gold mining and crypto mining companies. Companies could not invest directly or through derivatives in cryptocurrency. The report, however, made no mention of a ticker or a cost ratio.
Concerns about a new round of US restrictions remain in the air when news of VanEck’s potential fund breaks. Joe Biden, the President of the United States, is all set to sign an executive order outlining the country’s cryptocurrency strategy later this week.
The order directs government agencies, including the Securities and Exchange Commission, to submit reports on the steps they’ve taken to protect digital assets later this year. The administration has been criticised for failing to provide sufficient clarification on bitcoin regulation.
VanEck announced the launch of its first bitcoin fund earlier this year. The exchange-traded note, or ETN, is listed on the Deutsche Boerse Xetra and SIX Swiss exchanges, providing exposure to BTC, ETH, DOT, SOL, TRX, AVAX, and MATIC.
VanEck launched its Digital Transformation ETF (DAPP) in April of last year, which invests in companies that supply cryptocurrency exchanges, miners, and other crypto-related securities. The company also created the Bitcoin Strategy Fund (XBTF), which invests in Bitcoin futures contracts with a cash settlement.
