The Brazilian Securities Commission Comissão de Valores Mobiliários (CVM) has approved QR Capital to list Ethereum exchange-traded funds on the Brazilian stock exchange.
QR Capital Approved to List Ethereum ETF
The Ethereum ETF is listed on the Brazilian stock exchange.
Crypto investment company QR Capital will list the ETF on B3, the country second-largest exchange. It will go online under the exchange code QETH11. QR Capital posted an update on Twitter on Tuesday.
QR Capital announced in its announcement that B3 will be the first Latin American exchange to list a 100% Ethereum ETF. It will follow the CME Group’s CME CF Ether Reference Rate and the fund will be responsible for the custody of the ETH through Gemini. This means that QETH11 investors don’t have to worry about their own private keys or seed phrases, and these requirements have been barriers to adoption in the past.
Although Bitcoin has dominated the cryptocurrency in the mainstream spotlight, Ethereum and its ETH currency have drawn increasing interest from institutional investors and companies like QR Capital in recent months. Anchorage, an institutional digital asset company, launched an ETH-sponsored loan last month. CME is now listing ETH futures, and Goldman Sachs plans to add ETH options and futures to its suite of crypto products.
Ethereum is preparing to release two major updates in the coming months: EIP-1559 and Proof-of-Stake. Although EIP-1559 will increase the consumption of ETH on every Ethereum transaction, the merger with Proof-of-Stake is part of a broader plan to make the blockchain more scalable. The elimination of the Proof-of-Work also increases the energy efficiency of the network by 99.95%. With high hopes for these two updates, many people are starting to see ETH’s potential as an investment. If the update goes smoothly, Ethereum may see further institutional acceptance, similar to QR Capital’s ETF.
Brazil became the second country in the world with registered Ethereum ETFs. As reported by AtoZMarkets in April 2021, Canadian regulators approved the launch of such investment instruments.
Canada has overtaken the South American country with bitcoin exchange-traded funds. A North American country registered its first digital gold ETF in February.