Valkyrie Digital Assets has filed with the SEC to launch an ETF that will invest most of its capital in companies that own BTC or are otherwise associated with the cryptocurrency.
Valkyrie Digital Assets has filed Form N1-A with the U.S. Securities and Exchange Commission (SEC) to launch the Valkyrie Innovative Balance Sheet ETF. To do this, the company has entered into a partnership with KKM Financial, which acts as the fund’s investment adviser, and asset manager SEI, which acts as the fund’s distributor.
“The Fund will invest primarily in securities of operating companies that directly or indirectly invest, conduct operations, or otherwise have access to BTC or operate in the Bitcoin ecosystem,” the filing says.
By Bitcoin ecosystem, Valkyrie means the Bitcoin network and “BTC trading platforms, miners, custodians, digital wallet providers, companies that make payments in BTC, and companies that provide other technologies, equipment, or services to companies operating in the Bitcoin ecosystem.”
According to the CEO of KKM Financial, Jeff Kilburg, such investment tools can help companies that are not allowed to add BTC to their own balances to gain access to the cryptocurrency.
“This is a very complex and sophisticated approach for some multinational corporations that have policies and procedures that currently exclude the possibility of owning cryptocurrency,” Kilburg said.
Recall that in January, Valkyrie Digital Assets filed an application with the SEC to register an ETF for bitcoin. In addition, last week, Simplify Exchange Traded Funds filed an application with the SEC to launch an ETF that will indirectly invest in BTC through the Grayscale Bitcoin Trust, as well as in equity securities of US companies.