3iQ Digital Asset Investment Managers presented ETH market exposure to Canadian investors and stockbrokers on Thursday.
The first Ether-based ETF debuts on the TorontoNOTÍCIAS Stock Exchange
The world’s first Ether-based fund to be listed on a major stock exchange opened for trading on Thursday, but not without some setbacks. Listed on the Toronto Stock Exchange, the Ether Fund (TSX: QETH.U) opened for trading at $10.80 per share after completing a successful IPO in which $76.5 million was raised.
For interested traders, the fund was not available for trading at the opening bell, officially it was interrupted because of a delay in closing the fund’s IPO prospectus. In fact, trading began two hours late, with 345,331 shares being traded during the Anon System rest of the day. The fund reached an intraday high of $11.48 before closing at $11.02. This represents a 2.5% gain on a trading session in which the ETH price fell about 0.5%, creating a premium on the QETH.U stock price.
The fund was launched by Canada’s largest digital asset investment manager, 3iQ, as a way for traders and investors to gain exposure to the Ethereum market without having to buy, store or sell ETH. At an average price of $565 per ETH, each share of QETH.U. represented about 0.0187 ETH at the start of the trading day. The currencies backing the fund shares are being held by Gemini Custody, the custodian arm of the cryptomaniac giant Gemini.
The Ether Fund joins another title based on 3iQ’s crypto coins, the Bitcoin Fund (TSX: QBTC), which was added to the exchange at the end of October. 3iQ was ranked the third largest public digital asset fund in the world in a research report released earlier this month. The company stressed the importance of offering crypto-based securities on a large stock exchange in a press release accompanying the opening of the QETH.U. trade:
„Having access to digital assets […] can be frightening, expensive and inconvenient. 3iQ offers investors convenient and familiar investment products to gain exposure to digital assets. ”
In December 2017, the first US fund guaranteed by ETH opened for trading, the Grayscale Ethereum Trust, which is listed on the OTC Pink market. The fund saw an increase in inflows over the third quarter of this year, signifying the arrival of a new group of investors focused primarily on Ethereum, according to Grayscale’s managing director.