Brazil has launched its first green Bitcoin ETF, the BITH11. This means that four crypto-related ETFs are now available on the stock market.
While the US, or more precisely the US Securities and Exchange Commission, is taking its time to approve the first Bitcoin ETF, things are different in other parts of America. Not only in neighboring Canada, but also in Brazil there are now even several ETFs based on crypto. Including an Ethereum ETF, which is the first of its kind in America. A new Bitcoin ETF was launched there these days, which is already the second with a 100 percent exposure to Bitcoin.
Under the ticker BITH11, the Hashdex Nasdaq Bitcoin Reference Price the performance of the Nasdaq Bitcoin Reference Price Index to. It competes with the QR CME CF Bitcoin Reference Rate under the ticker QBTC11. However, it operates as the “first green Bitcoin ETF” in Brazil. Its goal is to neutralize the carbon emissions from Bitcoin investments. Specifically, this means that he uses tests by the German Crypto Carbon Ratings Institute (CCRI). The environmental impact of BITH11’s investments is being carefully examined. Every year, 0.15 percent of its cash flows into carbon credits and green technologies.
Brazil wants to bring more ESG investment products to the market
The CCRI has developed a globally recognized methodology for calculating carbon emissions in blockchain networks and produces annual reports. These contain calculations and estimates of energy consumption and carbon emissions in connection with the mining process of the bitcoins acquired by BITH11. The CCRI also provides scientific estimates of the total energy consumption and carbon emissions of the Bitcoin network. The institute makes the reports and the underlying scientific methodology available to the public.
The new ETF offers investors in Brazil exposure to the price of the world’s most important digital asset, with all its growth potential. It is a regulated and secure store of value that takes sustainability goals into account. With the launch of this ETF, we will also increase B3’s range of ESG products in the market
, local media quoted Rogerio Santana, managing director of the B3 exchange, the most important exchange in Brazil.
Of course, this is good news for the crypto market. But one can have doubts that this will influence the SEC’s decision. Brazil has a pretty strict regulatory system when it comes to crypto investments. Nevertheless, one should not place too high hopes on the effects that this approval has on the overall market.