Cryptocurrency and ICO news 10.07.2018
CBOE to attract more institutional investors to crypto
Chicago Board Options Exchange (CBOE) filed with the United States Securities and Exchange Commission (SEC) for Bitcoin ETF. Thus, it may attract more institutional investors to crypto industry.
“[The ETF], under normal market conditions, will use available offering proceeds to purchase bitcoin primarily in the OTC markets without being leveraged or exceeding relevant position limits,” the VanEck SolidX Bitcoin Trust’s application reads. It also states that an insurance policy will be set in place, granted theft or cyber attacks occur. Thus, investors can rest assured that their funds will be covered in the event of a loss:
“The insurance policy will carry initial limits of $25 million in primary coverage and $100 million in excess coverage, with the ability to increase coverage depending on the value of the bitcoins held by the Trust.”
Several financial giants have commented that bitcoin-based ETFs are crucial to financial innovation, with companies like JP Morgan calling them the “holy grail for owners and investors”.