Grayscale, the leading cryptocurrency asset manager, has launched a new Exchange-Traded Fund (ETF) that will be exposed to public companies holding the flagship cryptocurrency Bitcoin as part of its spare.
Bitcoin Adapter ETF (BCOR) covers global companies in developed or emerging markets in a variety of industries.
The purpose of an investment product is to give investors the opportunity to gain indirect exposure to Bitcoin through stocks in public companies.
To qualify for being included in the ETF, the company is to own at least 100 coins to the Ministry of Corporate Finance.
The index consists of primary and secondary companies. The first type of company, the second type has not earned more than 50% of its revenue from Bitcoin mining. Secondary companies, such as ASIC machines, also provide mining infrastructure.
Holdings are weighted based on the amount of Bitcoin held and the market capitalization. The weight of a single company is limited to 20%. In this way, even small businesses can be guaranteed to maintain their presence within the index.
Similar ETFs are also offered by companies such as Bitwise and Rex stocks.
