Considered Safe, Ether Can Be Traded On The Brazilian Exchange Floor

Ether or Ethereum can now be traded on the B3 Exchange, Brazil because it is considered safe. (photo: executium/unsplash)

JAKARTA - Brazil's Comissão de Valores Mobiliários (CVM), the country's securities regulator, has approved the Ether (ETH) exchange-traded fund (ETF). The statement was announced by QR Capital, the parent company of QR Asset Management.

Funds traded under the ticker QETH11, will be traded on the highly reputable B3 stock exchange in Brazil. The institution also operates as a regional exchange and serves customers worldwide. QETH11 will use the same Ether index as used by the CME Group and will use the institutional custodial services provided by the Gemini Winklevoss twins.

In its announcement, the fund's issuer provided the product as a “simple, secure, and regulated option for any investor to gain direct exposure to Ethereum through a broker of their choice, without worrying about listing on an exchange, wallet, or private key.”

QR Asset Management purchases physical ETH for the product and promises to ensure a high level of transparency and security for QETH11 investors. Fernando Carvalho, CEO of QR Capital told Cointelegraph Brazil:

“Brazilian regulators recognize the maturation of the crypto market and understand that it is important to offer a regulated product to investors looking to explore this new asset class. We hope this signal from Brazil will prompt the SEC to approve the first US crypto ETF," Carvalho said.

This news of the CVM green light follows two previous cryptocurrency ETF approvals this March, one 100 percent Bitcoin and the other consisting of five cryptocurrencies, in addition to Bitcoin (BTC).

Both are also traded on B3, and Bitcoin-only products are also managed by QR Asset Management. It started trading under the ticker QBTC11 in late June.

One month earlier, in February, Canada's Ontario Securities Commission also gave the go-ahead for the world's first physically settled Bitcoin ETF. Elsewhere, particularly in the United States, securities regulators are still delaying approval of crypto ETFs despite consistent demand.