First In Middle East, Dubai Authority Allows Bitcoin Fund To Operate On Nasdaq

Nasdaq Dubai is the first official stock exchange in the Middle East to offer crypto. (photo: doc. unsplash)

JAKARTA - Bitcoin Fund, a closed investment vehicle-based in Canada, has received regulatory approval from the Dubai Financial Services Authority (DFSA). The Bitcoin Fund debuted on the Nasdaq on June 23, 2021, and became the first digital asset fund to be listed in the Middle East.

The purpose of the fund is to provide investors with exposure to Bitcoin (BTC) and Bitcoin's daily price changes in United States dollars, as well as long-term capital appreciation. The fund is a diversified portfolio of digital assets invested in Bitcoin and US dollar-denominated money market instruments.

A report by Trade Arabia states that the Bitcoin Fund is now in a position to list up to $200 million worth of units on Nasdaq Dubai, once approved by the DFSA. This enables the region's first crypto-based product, listed on a regulated platform, to meet the growing demand from institutional investors. Bitcoin Fund will be available to investors of all levels from large banks to individual traders.

Over the past four months, Bitcoin has surged in value, hitting a new all-time high of $66.000 this week. Digital currency No. 1 in the world continues to outperform expectations thanks to growing institutional adoption and renewed enthusiasm among retail investors.

Nasdaq Dubai is the first official stock exchange in the Middle East to offer this new service, which is part of its commitment to embracing fintech.

The DFSA seeks to establish itself as an innovative regulator for the region by focusing on new technologies and innovative financial solutions that can help drive economic growth. As reported by Cointelegraph, the DFSA recently announced new rules for investing in crypto assets.