Investment fund manager 3IQ receives 'favourable ruling' from Ontario Securities Commission for bitcoin fund

Canadian investment fund manager 3IQ Corp has announced that it has received "favourable ruling" from the Ontario Securities Commission (OSC) for "The Bitcoin Fund," a non-redeemable investment fund that is expected to be listed for trading on major Canadian stock exchanges. According to 3IQ Corp, OSC has instructed its director to "issue a receipt for a final prospectus" of The Bitcoin Fund. 3IQ Corp hopes to have the fund listed for trading in the fourth quarter of 2019.

The Bitcoin Fund provides investors exposure to bitcoin through a long-term holding strategy of bitcoins sourced from firms, including bitcoin exchanges. Because the fund is a non-redeemable investment fund (NRIF), it enables 3IQ Corp to invest in assets not permitted for mutual funds. As an NRIF, however, The Bitcoin Fund limits the redemption rights of its investors. Investors of the fund will have the right to redeem their investments at net asset value annually, or redeem them monthly at a discount.