Bitcoin Fund Receives Approval From Dubai’s Financial Regulators

The Bitcoin Fund has been approved by the Dubai Financial Services Authority (DFSA) for its At-the-Market program on Nasdaq Dubai, according to a report by Trade Arabia, a media outlet in the country.

“We are extremely proud to have received the approval of the ATM program from the DFSA. Since we listed The Bitcoin Fund on the Nasdaq Dubai, we have seen an ever-increasing appetite from the large regional institutional investors. With the ability to now execute significantly larger sale offerings we anticipate that this will help to further grow the fund in the region,” said Frederick Pye, the Chairman and Chief Executive Officer of Canada’s largest Bitcoin and digital asset fund manager, 3iQ Digital Asset Management (3iQ).

The Bitcoin fund is a diversified portfolio of digital assets that invests in Bitcoin and U.S. dollar-denominated money market instruments. It first launched on the Nasdaq in June this year and became the first listed digital asset fund in the Middle East. The Bitcoin Fund will become the region’s first crypto-based product to be listed on a regulated platform, and according to the report, it is now in a position to list up to $200 Million worth of units on Nasdaq Dubai.

It is anticipated that the fund will satisfy the increasing demand for digital assets from institutional investors. The Bitcoin Fund, which will be available to investors of all levels, will also provide investors with exposure to Bitcoin and the daily price changes of Bitcoin in United States dollars, as well as long-term capital appreciation. Canaccord Genuity and Dalma Capital have been appointed by 3iQ as the joint-lead arrangers for the regional offering of the Fund, while BHM Capital has been appointed as the Fund’s Liquidity Provider.

The latest development is another win for Bitcoin, and for cryptocurrency in general. Over the past four months, the flagship cryptocurrency has been experiencing a surge in its value, climaxing at a new all-time high of $66,000 a week ago. Currently, Bitcoin’s market capitalization dominance is at its highest level since May, and expectations remain for even higher levels in the weeks and months to come. More major companies, governments, and financial regulators are also warming up to cryptocurrency, which many uphold as having the power to revolutionize money. For Dubai’s financial watchdog, its approval comes as an attempt to establish itself as an innovative regulator for the region by turning attention to new technology and ingenious financial solutions that may help propel economic growth.