On Tuesday, 13th July, the Brazilian Securities Regulator (CVM) approved the first-ever cryptocurrency exchange-traded fund (ETF) that tracks the performance of Ether digital currency in Latin America. The QR Asset Management announced the approval of this Ether ETF – QETH11 – which shall be listed on the Brazilian Stock Exchange B3. This makes it the first exchange in whole South America to list a 100% Ethereum ETF.
Ethereum ETF will follow the CME CF Ether Reference rate.
QETH11 will follow the CME CF Ether Reference rate, which the CME Group uses, to track the performance of Ethereum. The QETH11 will buy Ethereum in the open market and carry out the custody for investors in a safe and secure environment using Gemini’s custodial solutions. The latest Ethereum ETF provides a gateway for institutional players to gain Ethereum (ETH) exposure in a secure and regulated environment. Ether ETF’s approval from QR Capital came only a month later after it launched its Bitcoin ETF (QBTC11) back in June 2021.
The Brazilian investor now has exposure to the two largest digital assets in the world.
In a note accessed by Exame, QR Asset Management noted, “the Brazilian investor now has the possibility of exposure to the two largest and most valuable crypto assets in the world, in a regulated, simple and secure manner.” He further added, “It is no longer necessary to register in exchanges, create private keys or worry about secure custody since the fund has institutional-level custody in deep cold storage, provided by Gemini – a company specializing in the custody of cryptoactives founded by the Winklevoss twins – a service not very accessible to the common investor.” US SEC, on the other hand, has yet to approve BTC ETF.