In accordance with the local media outlet Exame, the Securities Commission of Brazil (CVM) has sanctioned the first ETF in Latin America that will be keeping track of the performance of Ethereum. Following the authorization of Bitcoin ETF, the watchdog of Brazil has sanctioned a product on July 13, Tuesday that represents the performance of ETH.
The product will be reportedly replicating the performance of the native token of Ethereum, Ether, and the fund has been administered by QR Asset Management. As far as the listing of the exchange-traded fund is concerned, the Ethereum ETF will be listed on the stock exchange B3 of the country under the ticker QETH11.
In addition to this, it will be following the CME CF Ether Reference Rate which is used by the CME Group, and as explained by QR Asset Management:
“Expanding the horizon of diversification, QETH11 becomes a simple, safe, and regulated option for any investor to gain direct exposure to Ethereum through their preferred brokerage.”
What is more intriguing here is that the new ETF will be employing secure institutional custody which is supplied by an exchange based in the United States, the Gemini Exchange.
With the launch of QETH11, Brazilian investors will be able to seek exposure to Bitcoin and Ethereum with the purchases of ETFs.
Meanwhile, it should be noted that Canada already has three workings BTC ETFs which have been approved since the start of this year.
In general, the development of a Bitcoin ETF in Canada was expected to motivate neighboring countries to follow the suit.
However, the regulators in the United States are yet to authenticate a Bitcoin ETF as the United States Securities and Exchange Commission is constantly rejecting most of the petitions while postponing the most recent attempts of VanEck and SkyBridge Capital.