Company 3iQ aims to launch the first Solana ETP in Canada

By Hannah Perez

Solana’s exchange-traded product will incorporate a staking strategy. Coinbase will act as custodian of the fund and will also provide staking capabilities.

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Canada could see Solana’s first regulated exchange-traded product arrive
Canadian investment firm 3iQ filed for a Solana ETP
The fund would invest directly in Solana and would have a staking strategy

As exchange-traded funds (ETFs) Bitcoin become popular, the door begins to open for the arrival of a broader range of regulated cryptocurrency investment products.

In Canada, an investment firm is looking to introduce the first exchange-traded product (ETP) with exposure to a altcoin within the local market.

Is about 3iq Digital Asset Managementone of Canada’s largest investment fund managers dedicated to digital assets, which has filed for an ETP of Solarium before local regulators.

Called the “Solana Fund,” the product would offer Canadian investors exposure to SOL without the requirement that they hold the cryptocurrency in digital wallets or make personal use of the technology, the company said in a statement.

The Fund seeks to become the first Solana (“SOL”) exchange-traded product (“ETP”) to list in North America.

3iQ has filed a preliminary prospectus with securities regulatory authorities in all provinces and territories of Canada, except Quebec, for an initial public offering of Class A and Class F units, according to the statement. If approved, the ETP will launch on the Toronto Stock Exchange under the symbol QSOL.

**ETP of Solarium will include staking strategy**

The company said that Canaccord Genuity will be the offer agent, while Tetra Trust and Coinbase Custody They will act as custodians. The fund will also have a functionality of staking of SOL for which 3iQ will take advantage of the infrastructure of Coinbase.

The asset management firm previously launched the Bitcoin and Ethereum, QBTC and QETH, respectively, which became the first cryptocurrency exchange-traded funds in Canada. Additionally, she was also responsible for launching the first ETPs with the ability to staking of ETH incorporated into their investment strategies in Canada.

“As pioneers in digital asset investment management, we look forward to continuing our mission of offering regulated investment vehicles, incorporating the highest standards and working with best-in-class partners, for efficient access by individual and institutional investors. to the crypto asset class” stated Greg Benhaim, executive vice president of products and chief operating officer at 3iQ, in the note.

The news comes after the first ETF approval of Bitcoin in the US in January, and the recent regulatory approval of ETFs Ethereum, a type of product that still awaits final approval before launch. Canadian regulators had already opened the door in 2021 to this type of funds.

While recently ETFs with direct exposure to Bitcoin have posted losses, have proven to be successful since their debut at the beginning of the year, attracting more than USD $14 billion in cumulative inflows and providing confidence to institutional investors.

The proposal of an ETP based on Solarium in the Canadian market appears to be a sign of the growing interest of high-profile investors to access cryptocurrencies through traditional and regulated investment vehicles.

SOL, which launched in 2020, is the fifth-largest cryptocurrency by market cap at $61.8 billion, according to CoinMarketCap. It is trading around USD $131 at the time of publication.

Article by Hannah Estefanía Pérez / DailyBitcoin

Picture of Unsplash

WARNING: This is an informative article. DiarioBitcoin is a media outlet, it does not promote, endorse or recommend any particular investment. It is worth noting that investments in cryptoassets are not regulated in some countries. They may not be suitable for retail investors as the entire amount invested could be lost. Check the laws of your country before investing.