American finance company REX Shares, LLC intended to launch an exchange investment fund (ETF) to work with bitcoin, but the US Securities and Exchange Commission refused to approve its application. Now the company plans to launch another ETF, focused on companies operating in the blockchain sector, writes Bloomberg.
“The bid for Bitcoin-ETF was technically withdrawn,” GREG King, CEO of REX, explained. “But we still have the blockchain-ETF, which we expect to launch in the coming weeks. We are happy, because we believe that investors want to work with this technology. We entered into an agreement with the portfolio manager, who controls the cryptocurrency hedge fund. He will become an active manager of our ETF.”
As noted by NewsBTC, active management of ETF is a non-standard approach, since passive indices are traditionally used in such funds. The active manager, which King says, will be Brian Kelly, an analyst with Fast Money at CNBC, who has been a bitcoin investor since 2013, a consultant to the tZero exchange, the Wall Street affiliate alliance and the CME bitcoin futures council.
Brian Kelly founded his own fund called BKCM, which works with cryptocurrencies such as Bitcoin, Ethereum, Stellar, Monero and Litecoin.
In April, Kelly said that bitcoin is similar to the Internet in the 80’s, and stressed that the cryptocurrency should not be classified as a security or a company.
“This is open source software. You can not treat it as a company. Many people make such a mistake, but this is not an action or a company,” he said then.