Kazakhstan-based investment firm Fonte Capital has officially launched Central Asia’s first spot Bitcoin exchange-traded fund (ETF).
The fund’s debut on the Astana International Exchange (AIX) marks a significant step forward in bringing regulated digital asset investment products to a new market. This move not only positions Kazakhstan as a key player in the burgeoning crypto sector but also opens the door for a new wave of investor participation in the digital asset space.
The new fund, named the Fonte Bitcoin Exchange Traded Fund OEIC and trading under the ticker BETF, provides investors with direct exposure to Bitcoin without the complexities of holding the cryptocurrency themselves. This simplifies the investment process and integrates crypto assets into traditional financial portfolios. The fund’s shares are quoted in U.S. dollars, making it accessible to both domestic and international investors.
A crucial aspect of the launch is the robust regulatory framework in place. The fund is regulated by the Astana International Financial Centre (AIFC), which has been proactive in establishing a clear legal environment for digital assets. Furthermore, U.S.-regulated BitGo Trust will serve as the custodian for the fund’s Bitcoin holdings, offering institutional-grade security and insurance coverage of up to $250 million. This partnership with a well-established international player adds a layer of trust and security that is often sought after by institutional and retail investors alike.
The launch of ETF aligns with Kazakhstan’s broader efforts to become a leader in the digital asset economy. The country’s government has been exploring legislative changes to liberalize crypto circulation and is considering the launch of specialized crypto banks. This initiative, coupled with the new ETF, is expected to create demand for skilled professionals and bolster liquidity for both fiat and digital assets within the AIFC. With this pioneering launch, Kazakhstan joins a growing number of global jurisdictions, including the U.S. and Hong Kong, that have approved spot Bitcoin ETFs, further legitimizing the asset class on a global scale.
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