A new exchange traded fund (ETF) tracking the value of bitcoin is reportedly planned for launch on Korea Exchange next year.
According to Korean news site Chosunbiz, the fund is to be launched by Korea Investment Trust Management, a Seoul-based asset management firm overseeing over $20 billion in investments.
The fund could become the world’s first bitcoin ETF to trade on a fully regulated venue. Bitcoin Investment Trust (BIT), the world’s first publicly traded instrument offering direct exposure to bitcoin prices, debuted for trade on the US OTC Markets in May. It is working to upgrade to higher reporting standards, and eventually hopes to upgrade into a fully regulated ETF. Winklevoss Bitcoin Trust, planned for the NASDAQ, is still holding in the approval stages.
Also launched in May was Bitcoin Tracker One, an exchange traded note (ETN) managed by Sweden-based XBT Provider, trades on the Stockholm Stock Exchange.
The Korean ETF would reportedly track prices based on Korbit, the largest of South Korea’s bitcoin exchanges. It secured $3 million in Series A funding one year ago.
It would launch sometime next year, subject to the the approval of the Financial Supervisory Service (FSS), the country’s financial regulator.
Korea Exchange, amalgamated out of Korea Stock Exchange, Korea Futures Exchange and KOSDAQ Stock Market, is South Korea’s only securities exchange operator.
Finance Magnates has requested additional details from Korea Investment Trust Management.