In response to global demand for bitcoin-related products, Brazil has taken the opportunity to capitalize on the momentum surrounding the leading cryptocurrency.
According to Reuters bitcoin-futures-april-2024-03-28/” target=”_blank” rel=”noopener nofollow”>reportBrazilian exchange operator B3 announced on Thursday that it has received approval from Brazil's securities regulator to offer bitcoin futures trading, which is expected to begin on April 17.
btc futures linked to the Nasdaq reference price
B3 announced that the official launch date of btc futures trading may be subject to change. However, the exchange confirmed that the future contracts will be linked to the Nasdaq bitcoin reference price, and each contract will represent 10% of the btc price in Brazilian reals.
Felipe Goncalves, superintendent of swap rates and foreign exchange products at B3, emphasized the importance of this milestone and stated:
The launch responds to demand for a derivative that allows a hedge against bitcoin price fluctuations or directional exposure to the asset.
It is important to note that the bitcoin futures contract offered by B3 will be financially settled, meaning it will not buy or sell of btc will be produced.
This approach aligns with the landscape of regulated derivatives markets, allowing investors to interact with bitcoin price movements without requiring direct ownership of the cryptocurrency.
Brazil welcomes BlackRock's iShares bitcoin Trust ETF
This event coincides with one of the largest asset managers in the world, Black Rockand a leading issuer of bitcoin exchange-traded funds (ETFs) bitcoin-news/blackrock-spot-bitcoin-etf-launches-in-brazil-etf-market-secures-4-of-total-btc-supply/” target=”_blank” rel=”noopener nofollow”>announcing The launch of the iShares bitcoin Trust ETF (IBIT39) in Brazil in early March.
Felipe Gonçalves highlighted the growth of the crypto market in Brazil, citing the existence of 13 ETFs with a total asset value of R$2.5 billion (approximately $505 million). In particular, the market has attracted institutional investors, including funds and individual investors, with a current number of 170,000.
He iShares bitcoin Trust ETF (IBIT39) will have a management fee of 0.25%, with a one-year waiver that reduces the fee to 0.12% once the fund exceeds $5 billion in assets under management.
With the regulatory approval of B3 for bitcoin futures trading and the launch of the iShares bitcoin Trust ETF, Brazil is cementing its position as a major player in the expanding global bitcoin and cryptocurrency market.
These developments provide investors with new avenues to participate in the digital asset ecosystem while fostering Brazil's growth and maturation. crypto investment landscape.
The largest cryptocurrency in the market is trading at $70,400, demonstrating a rebound from the $60,800 level after a significant correction. btc has successfully consolidated above this crucial level in the last 24 hours, indicating strong momentum to surpass its previous all-time high of $73,700, reached on March 14.
Examining the cryptocurrency's performance over longer time periods, we see that btc has shown substantial gains. An impressive 11% increase was recorded in the last week alone. btc saw a notable 16% rise in the last month.
Furthermore, its year-to-date growth is nearly 150%, highlighting the sustained bullish trend that has prevailed since the end of the bear market and the subsequent recovery of crypto winter 2022.
Featured image from Shutterstock, chart from TradingView.com
