ProFunds, on Wednesday, launched the first ever publicly available bitcoin mutual fund. The mutual fund will initially be available in the US. This would allow traders to invest in bitcoin without going through the process of buying the asset itself.
The fund aims to track the performance of the world’s largest digital asset before fees and expenses. It would eliminate the need for investors to hold their bitcoin through exchanges or wallets. This would give investors a rather convenient way to diversify their portfolios with bitcoin without actually having to buy any.
“Cryptocurrency has become a significant asset class, and our new Bitcoin Strategy ProFund provides investors access to a bitcoin strategy through a mutual fund investment,” says ProFunds CEO Michael L. Sapir. “Compared to directly buying bitcoin, which may involve opening a new account with an unregulated party, this ProFund offers investors the opportunity to gain exposure to bitcoin through a form and investment method that tens of millions of investors are familiar with.”
Currently, there are about 10 bitcoin ETF applications waiting on the go-ahead from the SEC. ProFunds investment vehicle arrives as a wave of financial firms apply with the SEC for approval of a bitcoin ETF. Countries in Europe, as well as Canada and Brazil, already have bitcoin funds available to investors.
Also Read: Stone Ridge Filed New Prospectus with SEC For Bitcoin Fund
About ProFunds:
Founded in 1997, ProFunds has more than 20 years of experience managing a diverse lineup of some of the most innovative funds in the financial industry and offers trading flexibility to all shareholders. In addition to classic, broad-market index funds, ProFunds offers leveraged and inverse funds that track a variety of complex assets, including broad-market and sector-based domestic and international equity, fixed income, commodity, currency, CDS, and other benchmarks.
