A nuova proposta di ETF (exchange-traded fund) aims to revolutionize the investment market by combining Bitcoin and gold.
Presented to the U.S. SEC by Tidal Investments and Quantify Chaos Advisors, the ETF STKD Bitcoin & Gold aims to offer investors exposure to both assets without the need to directly own either one.
This initiative could represent an important opportunity for those looking to diversify their portfolio with the security of gold and the growth potential of Bitcoin. Let’s see all the details below.
New ETF: an innovative combination of Bitcoin and gold
As anticipated, a revolutionary proposal of ETF (exchange-traded fund) has been submitted to the US SEC for the STKD Bitcoin & Gold ETF. This new ETF aims to offer investors simultaneous exposure to both Bitcoin (BTC) and gold.
Investors can thus take advantage of both assets without the need to directly own either one.
In January, the SEC has already approved 11 ETFs based on Bitcoin, marking a crucial moment in the cryptocurrency landscape. While gold ETFs have existed for some time, an ETF that combines both BTC and gold represents a novelty.
Combining BTC and gold, Tidal Investments aims to offer the complementary advantages of both assets. According to the filed document, in fact:
“By combining low-correlation activities, the Fund aims to reduce the impact of short-term market fluctuations on the overall investment result, potentially providing a more stable investment trajectory.”
The document continues explaining the following:
“The Fund uses leverage to ‘stack’ the total return of the holdings in the Fund’s Bitcoin strategy along with the total returns of the holdings in the Fund’s Gold strategy. Essentially, one dollar invested in the Fund provides approximately one dollar of exposure to the Fund’s Bitcoin strategy and approximately one dollar of exposure to the Fund’s Gold strategy.”
Furthermore, the fund aims to invest from 10% to 65% of the net assets in U.S. Treasury bonds, money market funds, cash, and cash equivalents.
Future prospects and SEC approval
There is a concrete possibility that the SEC will approve this combination of ETFs on BTC and gold. The regulatory authority has already shown openness by approving BTC ETFs at the beginning of the year, and gold ETFs are already established.
As a result, an ETF that combines both assets might not encounter much opposition.
If approved, the STKD Bitcoin & Gold ETF would represent an important innovation for investors seeking a solid and well-balanced diversification strategy.
Steps forward after the historic approvals of Bitcoin and Ethereum ETFs
The head of research at VanEck, Mathew Siegel, stated that the market could soon see the arrival of a Solana ETF, following the recent approvals of spot ETFs on Bitcoin and Ethereum.
The asset management company VanEck has indeed submitted the first Solana (SOL) ETF in the United States, paving the way for this new financial instrument that would offer institutional investors exposure to Solana.
Siegel explained that the language used in the ETF 19b4 forms for Ethereum, which describe Ethereum as a commodity by virtue of its decentralization characteristics, could also be applied to Solana.
According to him, if the exchanges are willing to sign the same surveillance sharing agreements for Solana that they have made for Bitcoin and Ethereum spot ETFs, this could favor the approval of an ETF on SOL.
Furthermore, Siegel observed that there are ETFs based on commodities that do not have a futures market. Thus suggesting that this could be a loophole for the approval of a Solana ETF.
Unlike SOL, both BTC and ETH have futures markets on the Chicago Mercantile Exchange (CME).
The interview with Siegel preceded VanEck’s decision to officially file the application for the first ETF on Solana in the United States, which took place last Thursday.
The asset manager, based in New York, has filed the modulo di registrazione S-1 with the United States Securities and Exchange Commission (SEC), marking an important milestone in the approval process.
In September 2023, VanEck submitted a new application for an Ethereum ETF, participating in the recent wave of requests alongside big names like BlackRock and Fidelity.
There is therefore a general expectation that these products will be available at the beginning of July and VanEck has already waived the fees until the pre-approval of 2025.