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Invesco Submitted Application With the SEC For An ETF Investing Indirectly In Bitcoin

By Warren Hayes | August 6, 2021
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Investment firm from Atlanta Invesco is reportedly looking to roll out a new Bitcoin (BTC) exchange-traded fund (ETF), which will make BTC investment in an indirect manner. 

Specifically, on August 4th, Invesco reportedly submitted the filing to the US Securities and Exchange Commission (SEC), regarding the listing of a new investment offering, which goes by the name Bitcoin Strategy ETF.

The Invesco Bitcoin Strategy ETF reportedly has a primary target of satisfying its investment goal, via making investments of “all or substantially all of its assets” in Bitcoin futures and exchange-traded products (ETPs), together with Bitcoin-related private investment trusts, nominally the Grayscale Bitcoin Trust.

The fund can potentially carry out investments in Bitcoin ETFs listed beyond the territory of America from time to time as well. 

The fund additionally looks to pour the rest of its current assets straight into cash, cash-like instruments, or high-quality securities as part of collateral investments. 

The collateral potentially includes top-tier securities, nominally securities of the US authority such as bills, notes, and bonds, together with money market funds and corporate debt securities.

“The collateral is designed to provide liquidity, serve as margin or otherwise collateralize the subsidiary’s investments in Bitcoin futures” Investco further stated. 

Per the filing, the new fund will have the “non-diversified”, which grants it exemption from satisfying particular diversification requirements under the Investment Company Act of 1940.

Invesco has reportedly been taking an active stance when it comes to crypto and blockchain ETF-associated investments throughout the past years. In March 2019, the firm rolled out a blockchain ETF on the London Stock Exchange, planning to cater to 48 establishments working in the blockchain tech sector.

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