Europe's premiere spot Bitcoin ETF makes its debut on Euronext Amsterdam

London-based Jacobi Asset Management has introduced Europe's inaugural spot Bitcoin exchange-traded fund (ETF) on Euronext Amsterdam, nearly 24 months after securing initial approval.

The Jacobi FT Wilshere Bitcoin ETF falls under the jurisdiction of the Guernsey Financial Services Commission (GFSC) and will be traded using the symbol "BCOIN." The fund's custody is entrusted to Fidelity Digital Assets, with trading firm Flow Traders acting as its market maker, as announced by Jacobi on Tuesday.

Originally granted approval for the fund in October 2021, Jacobi had intended to list it in 2022; however, due to challenging cryptocurrency market conditions last year, the company chose to postpone its plans.

 Emerging technologies could reshape inflation dynamics

Coinbase (COIN) highlighted the potentially compelling investment rationale for Bitcoin (BTC) in a research report on Thursday, emphasising its appeal as investors seek to navigate prevailing uncertainties in the global macro landscape.

The report observed shifts in structural factors impacting inflation due to emerging technologies like generative artificial intelligence (AI), possibly ushering in a new phase of accommodative monetary policies.

What is a spot Bitcoin ETF? How does it affect the crypto

An exchange-traded fund (ETF) represents a form of investment that follows the performance of a distinct asset or commodity, such as bitcoin in this instance. These ETFs are tradable on stock exchanges and within brokerage accounts, while the responsibility of safeguarding the underlying asset rests with the ETF's manager.

The Spot Bitcoin ETF operates as a dynamic fund that can create or withdraw shares according to market requirements. Its main objective is to closely follow the current price of Bitcoin.

This setup grants investors the ability to gain price participation in bitcoin without grappling with the complexities of self-custody or navigating the intricacies of a bitcoin exchange.

On the other hand, a futures-based spot Bitcoin ETF centres on the futures market, presenting its unique difficulties and hazards due to inadequate trading oversight.

Notably, increased U.S. government expenditure has maintained stable economic growth while concurrently raising the cost of servicing the country's debt over the coming years.

Despite being the world's largest cryptocurrency by market capitalisation, Bitcoin has recently grappled with minimal directional momentum, persistently trading within an extremely narrow range.

The introduction of a spot Bitcoin ETF could potentially serve as a catalyst to invigorate the market. Although the U.S. Securities and Exchange Commission (SEC) has yet to decide on the matter, analysts anticipate a court verdict, potentially as soon as today, in the ongoing lawsuit between Grayscale and the SEC regarding the conversion of its Bitcoin trust (GBTC) into an ETF.