REGULATION | Why Switzerland Granted First Retail Bitcoin ETF an Exemption from Standard Diversification Requirements
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Switzerland’s financial regulator has approved the country’s first exchange-traded fund (ETF) that invests directly in Bitcoin and is available to retail investors opening a new route for individuals to gain exposure to the cryptocurrency through a regulated investment vehicle. However, Switzerland has classified the first retail Bitcoin ETF as high-risk alternative investment fund. Switzerland’s financial regulator FINMA has classified the country’s first retail spot Bitcoin exchange-traded fund (ETF) under its ‘other funds for alternative investments with specific risks’ category, reflecting the cryptocurrency’s volatility and the fund’s concentrated exposure to a single asset.
Source: BitKE
