Jacobi Asset Management Launches First-Ever Spot Bitcoin ETF in Europe, Promoting Environmental and Social Characteristics
Summary:
London-based firm Jacobi Asset Management has launched the first spot Bitcoin ETF in Europe. Classified as an Article 8 fund, it promotes environmental and social characteristics. Despite concerns about the contradiction of Bitcoin's energy consumption, the ETF is deemed "fully decarbonized" with investments in renewable energy certificates. Listed on the Amsterdam stock exchange, the physically-backed Bitcoin fund aims to provide investors with access to actual BTC holdings.
Jacobi Asset Management, a London-based firm, has launched the first-ever spot Bitcoin ETF on the European market. The ETF has been classified as an Article 8 fund, which promotes environmental and/or social characteristics, under the European Sustainable Finance Disclosure Regulation (SDFR). This makes it not only the first Bitcoin ETF in Europe but also the first to adhere to the European Union's environmental, social, and governance investing rules. The Jacobi FT Wilshire Bitcoin ETF, which was listed on the Amsterdam stock exchange on August 15, has been deemed "fully decarbonized" due to its investments in renewable energy certificates (RECs), according to Martin Bednall, the CEO of Jacobi. However, academic experts raise concerns about the contradiction, as the energy-intensive mining process of Bitcoin would require an excessive amount of RECs. Despite the delay in its planned launch, the ETF aims to provide investors with a physically-backed Bitcoin fund that supports actual BTC holdings. To ensure its eco-friendly nature, the fund calculates the energy consumption of the Bitcoin network and purchases and "retires" RECs. These certificates are tracked on a blockchain service, allowing investors to verify the fund's environmentally friendly claims.
Published At
8/29/2023 9:31:12 AM
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