Nexo and 7RCC Unveil ESG-Focused Bitcoin ETF Proposal

by CryptoExpert
Changelly


Nexo and 7RCC Global are pioneering a novel approach in the investment sphere by introducing an ESG-centric Bitcoin exchange-traded fund (ETF).

This venture aligns with the impressive market trajectory observed in spot Bitcoin ETFs since their January debut.

Nexo and 7RCC Present an ESG Twist on Bitcoin Investment

On December 20, Nate Geraci, president of the ETF Store, announced that Nexo and 7RCC Global had submitted an S-1 amendment to the US Securities and Exchange Commission (SEC) for a new fund — the Nexo 7RCC Spot Bitcoin and Carbon Credit Futures ETF.

Geraci revealed that this ETF would diversify its portfolio by allocating 80% to Bitcoin and the remaining 20% to Carbon Credit Futures. He highlighted that the ETF would focus on emissions allowances from established cap-and-trade systems, including those in the European Union, California, and under the Regional Greenhouse Gas Initiative.

Binance

Carbon credit futures are financial instruments traded based on the projected value of carbon credits. They provide a mechanism to handle regulatory uncertainties while fostering environmentally sustainable investment practices. Geraci described the ETF as an “ESG version of a spot BTC ETF” and expressed optimism about its regulatory approval.

“Expect this to launch soon. Basically an ‘ESG’ version of spot BTC ETF,” Geraci said.

This initiative is not just a significant advancement in embedding ESG principles within cryptocurrency investment but also sets a new benchmark for financial instruments designed to marry profitability with environmental and social responsibility.

If approved, this ETF will enter a robust market currently led by heavyweights like BlackRock and Fidelity. Spot Bitcoin ETFs have already attracted about $36 billion in net inflows since the start of the year, underscoring the dynamic investment landscape.

US Spot Bitcoin ETFs Flows. Source: Farside

Beyond the ETF, Nexo’s collaboration with 7RCC Global also promises broader societal benefits, aligning with the World Economic Forum’s Safeguarding the Planet initiative. Indeed, this partnership underscores a mutual commitment to fostering progress that respects and nurtures the environment for future generations.

Kalin Metodiev, CFA, Co-founder and Managing Partner at Nexo, emphasized the partnership’s dedication to lasting impact.

“Unlike 20 years ago, today’s generation is not just about making money; it’s about making a difference. This strategic alliance highlights our commitment to sustainable solutions that will benefit future generations,” Metodiev stated.

Disclaimer

In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.



Source link

You may also like