On 28 July 2021, ProFunds announced the launch of Bitcoin Strategy ProFund (BTCFX) to provide investors with exposure to Bitcoin prices in a regulated environment. ProFunds says Bitcoin Strategy ProFund (BTCFX) is the first public mutual fund* in the US to offer exposure to Bitcoin.
According to ProFunds Prospectus on mutual funds , these funds primarily reflect the price of Bitcoin through Bitcoin futures contracts . The Fund does not invest directly in Bitcoin. The value of Bitcoin futures is determined by reference to the Bitcoin CME CF reference rate officially approved by the U.S. Commodity Futures Trading Commission. In addition, although the mutual fund focuses primarily on Bitcoin futures contracts, the Fund reserves the right to invest in Bitcoin ETFs listed on the U.S. and Canadian securities markets.
Bitcoin Strategy ProFund also offers better access to smaller investors with a minimum investment of $1,000 USD for both individual investors and financial professionals . This is much cheaper than financial products that previously provided exposure to Bitcoin, such as the Grayscale Bitcoin Trust. The minimum investment in Grayscale Bitcoin Trust is $50,000 USD.
The Fund's performance and financial statements are provided one year after the Fund's launch date and investors pay 1.15% of their total investment as annual operating expenses.
As the US Securities and Exchange Commission (SEC) continues to delay applications for Bitcoin ETFs, Bitcoin Strategy Profund offers investors a Bitcoin-priced financial instrument.
* A mutual fund (mutual fund) is a product that is managed by raising capital from a large number of individual investors and buying and selling various assets such as stocks and bonds. Mutual funds have different risks, returns or themes for each fund and allow investors to invest according to their desired fields.
https://bitcoinmutualfund.com/
** Bitcoin ETFs in Canada are approved by Canadian financial regulators.
For more information on Bitcoin Strategy Profund is ProFund visit the official website .
*** Translated with www.DeepL.com/Translator (free version) ***
