London-based Jacobi Asset Management has successfully introduced Europe’s inaugural Bitcoin exchange-traded fund (ETF) on the Euronext Amsterdam exchange, securing the go-ahead from the Guernsey Financial Services Commission. What sets this ETF apart is its adherence to Article 8 of the European Sustainable Finance Disclosure Regulation, presenting a decarbonized digital asset fund. In a pioneering move, it incorporates a verifiable Renewable Energy Certificate (REC) solution, aligning investors’ goals with environmental, social, and governance objectives.
Despite initial delays prompted by the Terra ecosystem’s collapse and the FTX crypto exchange’s bankruptcy, the Jacobi FT Wilshire Bitcoin ETF is now in full swing. Managed by Fidelity Digital Assets and served by Flow Traders as market makers, the ETF entails an annual management fee of 1.5%. This innovative ETF introduces a distinct perspective on environmental sustainability. By quantifying Bitcoin’s energy consumption within the ETF, it procures equivalent RECs as opposed to relying on traditional carbon offsetting mechanisms. Custodial services are entrusted to Fidelity Digital Assets, while Flow Traders functions as the ETF’s market maker. Jane Street and DRW, as Authorized Participants, contribute to the fund’s operational structure.