BTC fund set up in France: is institutional money finally coming?

France is always in the headlines with us because it is heavily involved in the BTC adoption. The creation of investment opportunities for institutional investors also plays a role. A fund has now been approved in France to target cryptocurrencies, specifically BTC. Overall, this is the first of its kind because it offers investors with a minimum amount of € 100,000 the opportunity to invest in a regulated Bitcoin financial product.


BTC fund approved by AMF

As LesEchos reports, Napoleon Asset Management’s BTC fund has been approved by the Autorité des Marchés Financiers (AMF) in France. The fund is intended exclusively for institutional investors who must have at least € 100,000 available for an investment. The BTC Fund is the first of its kind because it is regulated and 100% cryptocurrency oriented. The fund is based on the performance of futures contracts listed on the Chicago Mercantile Exchange (CME).

Therefore, no real BTC will be delivered on the expiry date, but the underlying will be paid in cash. This is a solution preferred by institutional investors. Although the first French company to offer crypto products was Tobam ​​in late 2017, Napoleon Asset Management is the first to offer a regulated product.


2019 the year for institutional infrastructure

The year 2019 is characterized by the continuous development of traditional financial products based on cryptocurrencies. Although institutional investors are still cautious, the fact that these products are being created is a sign of the development of the market.

In the US, waiting for approval of a BTC EFT by the SEC continues. However, there also seems to have been a few steps further this year. As recently reported by CryptoMonday, we already have Exchange-Traded-Products (ETPs) in Europe, with which you can invest in the traditional way in BTC and Co. We are curious to see whether the creation of this new opportunity will drive a next bull run.