In an official statement, the New York Stock Exchange Index, Nasdaq announced its partnership with the Brazilian fund management firm (HashdeX) to launch the "Nasdaq Hasdex Crypto Index." Nasdaq also revealed that 3 million Class E shares will be issued for trading on the platform.
Cryptos traded on hedge funds in 2019 rose $ 1 billion. Binance has just launched a Visa card in the European Economic Area. The Kraken exchanger has received permission to set up its crypto bank. It is clear that cryptocurrencies are gradually moving towards traditional finance.
The creation of the "Nasdaq Hasdex Crypto Index" is a breakthrough in the crypto industry after several companies tried unsuccessfully to set up a Crypto ETF. Like stocks, cryptos will now be traded with less risk in the Risk Minimizer Instrument (ETF).
What to know about the crypto ETF of Hashdex and Nasdaq
According to reports from Brazilian news company Infomoney, the fund is expected to be traded live and on the Bermuda Stock Exchange by the end of the year. Hashdex chose to apply with the BSX because of Bermuda's facilitating crypto rules.
In a commentary to the leading Brazilian newspaper Oglobo, the managing director of Hashdex, Sampaio said the launch of the ETF would advance institutional investment in the crypto industry.
Hashdex said he will release the production methodology and other important information on the launch date of the Nasdaq product.
Who is Hashdex?
Hashdex exists to bridge the gap between the world of digital assets and traditional markets by unlocking the potential of blockchain for traditional investors.
Hashdex currently manages $ 46.4 million in assets across four funds, including funds that hold crypto assets.
The company's auditor is KPMG, its principal financial institution is Silvergate Bank, and the custodians of Hashdex's crypto assets are Xapo, Kingdom Trust, and Vo1t.
What is the outlook for the crypto ETF?
Exchange Traded Funds provide institutional investors with a regulated and assured way to gain exposure to financial assets without owning the underlying assets.
Earlier this week, Raoul Pal, a former executive and fund manager of Goldman Sachs, predicted that the Bitcoin ETF launch in the US was also imminent, saying
I am going to give you the greatest opportunity of your life: they are going to take an ETF across the line. There will be billions of dollars going into it. Each pension plan will devote a certain amount to this. Each family office will spend money on it. And the more the price increases, the more money they will spend on it.