Purpose Investment’s Spot Bitcoin ETF was the first one in the world to get approved in February 2021. The $852 Million ETF is available for investment in Canada and has over 28,000 Bitcoins in its cold storage.
This ETF marked its approval long back in 2021 when other US Bitcoin ETFs like BlackRock, ArkInvest/21Shares, Fidelity, and others have just began their filings now.
Details About The ETF
The following details were obtained from Purpose Investments and their accuracy depends on the data provided by them through their website.
Also Read: List of All Bitcoin ETFs Across The World
Parties to the ETF
- Purpose Investments in the manager, trustee and portfolio manager of the ETF.
- Cidel Trust Company is the crypto custodian and is responsible for storage and safety of the Bitcoins in the fund. It is a wholly owned subsidiary of Cidel Bank Canada.
- Gemini Trust Company, LLC, is the sub-custodian of the ETF.
- CIBC Mellon Global Securities Services Company is the valuation agent and is responsible for the calculations of the Net Asset Value (NAV).
- Ernst & Young LLP are the appointed auditors.
Fees and Expenses
The current expenses are capped at 1.5% per annum of the total value of the fund.
Fund Size
The fund is worth $852 Million as of 14 July 2023 with data acquired from the fund website.
It currently holds 28344.959342 BTC as of 14 July 2023. All 100% Bitcoins are in the cold storage as per the fund website.
Who Cannot Invest
Any person who uses the following types of accounts will be penalized by tax if they hold units of this ETF in their accounts. The penalization will only take place if such accounts are prohibited from investing because of their applicable tax plans.
- TFSA, Tax Free Savings Account
- RDSP, Registered Disability Savings Plan
- Annuitant of RRSP, Registered Retirement Savings Plans
- Annuitant of RRIF, Registered Retirement Income Funds
- Subscriber of RESP, Registered Education Savings Plan
About Purpose Investments
Purpose Investments is an asset management company with investment offerings in several sectors such as equities, alternate investments, private assets, cash bases assets, crypto assets and commodities.
It has launched several crypto based investment products with EtherFi in which it acquired a stake in Feb 2023 for $5.3 million.
Its headquarters is in Toronto, Canada.
Other Crypto-based Offerings by Purpose Investments
- Purpose Bitcoin Yield ETF which invests in Bitcoin Derivatives such as Futures and Options.
- Purpose Ether ETF, which invests in Ether and buys them from exchanges.
- Purpose Ether Yield ETF, which invests in Ether Derivatives such as Futures and Options.
