Europe's First Spot Bitcoin ETF Set to Launch in 2023

The Jacobi Bitcoin ETF by London-based Jacobi Asset Management will eventually become Europe's first spot Bitcoin ETF. This was conveyed by one of the crypto asset activists, Keyur Rohit via his Twitter page, who claimed that this marked a significant development in the cryptocurrency investment landscape in the region.

As is known, after experiencing delays for a year, the launch that was highly anticipated is now in sight. The plan, this ET will offer investors direct ownership of Bitcoin.

Initially, the launch was scheduled to be launched on the Euronext Amsterdam exchange in July 2022. However, several large unexpected headwinds hit the market, including the collapse of the Terra ecosystem and the collapse of FTX.

"The ETF was originally slated to launch on the Euronext Amsterdam exchange in July 2022. However, unforeseen market conditions, including the collapse of the Terra ecosystem and the collapse of FTX, forced asset managers to postpone the listing," said Rohit.

Therefore, Jacobi Asset Management decided to postpone the offering on the grounds that it needed to ensure a favorable market environment for investors. However, Jacobi expressed his confidence in this launch due to the ever-evolving market dynamics and ever-increasing demand for this ETF.

“Despite the setback, Jacobi Asset Management is now confident about the launch due to the gradual shift in demand for ETFs. The company is currently assessing the launch date and will share exciting news soon."

Currently, the company is evaluating potential launch dates and promises to announce the news soon, increasing the anticipation among cryptocurrency enthusiasts.

What makes the Jacobi Bitcoin ETF unique, Rohit explained, is its status as a centralized, Bitcoin-backed financial instrument, with custodial support from Fidelity Digital Assets.

This new approach differentiates it from exchange-traded notes (ETN) which are more commonly used in Europe. While ETNs are debentures, the Jacobi Bitcoin ETF allows shareholders to have direct ownership in the underlying Bitcoin assets, thereby reducing the risk of market manipulation.

While Europe has embraced its first spot Bitcoin ETF in 2021, the United States Securities and Exchange Commission (SEC) has been more cautious and rejected all proposals for such ETFs to date. However, this view will change in 2023. Several large institutional firms, including BlackRock and Fidelity, have recently submitted fresh applications for spot Bitcoin ETFs, in hopes of securing SEC approval.

“It is a race to the finish line, as leading players like BlackRock and Fidelity have recently submitted ETF applications, and are hoping for them to be approved by the SEC,” said Rohit.

The SEC's approval of several futures Bitcoin ETFs in 2021 demonstrates the growing acceptance of the cryptocurrency in the United States financial landscape.

Therefore, investors are eagerly awaiting the regulatory body's decision on the first spot Bitcoin ETF, as it has the potential to change the investment landscape in the country.

“The launch of Europe's first spot Bitcoin ETF marks an important milestone in the world of crypto investment. This opens the door for more investors to participate in the Bitcoin market, while providing a safe and transparent investment vehicle,” concluded Rohit.