Physical Bitcoin Fund Approved in Singapore

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Singaporean group Fintonia has launched two bitcoin funds for professional investors. The Fintonia Bitcoin Physical Fund buys real bitcoin to provide investors with direct price exposure. The Fintonia Secured Yield Fund allows bitcoin holders to get money by putting their BTC as collateral.

Singapore-based fund manager Fintonia Group, regulated by the Monetary Authority of Singapore (MAS), has launched a “physical” bitcoin fund and a yield fund, Fund Selector Asia reported. The offers are aimed at professional and institutional investors looking for direct and passive bitcoin exposure and a way to get loans on their BTC holdings.

“The fund acquires ‘physical’ bitcoin, which means we will buy the actual bitcoin [rather than] a derivative instrument on bitcoin, ”said Adrian Chng, founder and chairman of the Fintonia group, according to the report.

The Fintonia Bitcoin Physical Fund aims to provide investors with “fast, secure and profitable” bitcoin exposure through a more convenient investment vehicle by buying and holding BTC directly. The manager has said that an “authorized and insured custodian” will hold the fund’s bitcoin.

“As a MAS regulated fund manager with strict standards, we can connect with multiple exchanges and different market makers, allowing us to find the best prices, as well as buy or sell in volume.” , said Chng. “The fund also enables efficient transfers of cash or crypto, solving problems associated with transferring large amounts of money into or out of the system.”

The Fintonia Secured Yield Fund, on the other hand, aims to provide direct loans to bitcoin holders. Borrowers like traders, miners, and companies holding BTC can take advantage of the yield fund to access liquidity without selling their bitcoin.

“Bitcoin is a great form of collateral for loans,” Chng reportedly said. “It trades 24/7 and is very liquid, at around $ 30 billion to $ 60 billion per day. If necessary, it can be quickly liquidated compared to, for example, commodities and real assets.

Bitcoin funds provide an easy and hassle-free investing experience. Investors can gain exposure to the price of BTC by buying the shares of the fund from their usual broker. However, convenience comes at a cost. It is only by directly holding bitcoins that an investor will be able to enjoy the financial sovereignty and freedom afforded by the Bitcoin network.

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