Bitrabo Editorial
VanEck, a Bitcoin ETF issuer, has collaborated with asset manager Inter Invest to introduce Bitcoin exposure within French retirement savings plans, a first-of-its-kind offering. This initiative is made possible through VanEck’s VBTC Bitcoin ETF, which recently launched on Australia’s main exchange with a total value of $407 million. The goal is to allow French Pension Savings Plan (PER) investors to include digital assets in their retirement portfolios.
Integration of Bitcoin ETF in Retirement Plans
The VBTC ETF is fully collateralized and tracks the MarketVector Bitcoin VWAP Close Index, measuring the performance of a digital asset portfolio invested directly in BTC. With a total expense ratio of 1%, the VBTC ETF offers investors a regulated product to gain exposure to the largest cryptocurrency. This mirrors the US market’s newly approved ETF sector, launched in January following approval from the US Securities and Exchange Commission (SEC).
Martijn Rozemuller, VanEck Europe’s CEO, expressed confidence in BTC as a groundbreaking long-term asset. Despite recent price volatility in the cryptocurrency market, he views it as part of the asset’s emerging nature. Bitcoin experienced a 25% retracement in its price from its failed attempt to retest its all-time high of $73,500 in May to June, dropping to a six-month low of $53,500 in July.
On the flip side, Inter Invest’s Deputy CEO, Jean-Baptiste de Pascal, stressed the company’s dedication to making innovative financial assets accessible to everyone. By integrating crypto assets into retirement savings plans, they aim to meet the increasing market demand for diversifying retirement savings with digital assets.
US Bitcoin ETFs Surpass $16 Billion Milestone
The introduction of Bitcoin ETFs into French pension plans follows the approval of the first crypto ETF listings on the London Stock Exchange in Q2, granting professional investors access to this asset class. While digital assets face skepticism, the European Central Bank (ECB) has criticized the approval of spot Bitcoin ETFs by the Securities and Exchange Commission.
Despite the doubts, recent data indicates the ongoing success of the newly licensed market with significant net inflows into US Bitcoin ETFs. Notably, BlackRock’s IBIT and Ark Invest ETFs, along with 21Shares’ ARKB ETF, saw substantial net inflows, with Bitcoin ETFs crossing the $16 billion milestone year-to-date.
Featured image from DALL-E, chart from TradingView.com