#133: B3 Exchange Approved to Launch Bitcoin Futures
Plus: Hashdex Bitcoin ETF launches in US; Liqi teams up with Crypto.com on crypto-as-a-service offering
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Welcome back to 🇧🇷Brazil Crypto Report for the week of March 25-29, 2024.
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🔍What’s in this week’s BCR?
Brazil’s B3 Exchange receives approval to launch bitcoin futures
Hashdex’s US spot bitcoin ETF is live
Liqi teams up with Crypto.com on crypto-as-a-service offering
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CVM greenlights bitcoin futures on the B3
The CVM, Brazil’s securities regulator, approved the launch of bitcoin futures contracts by B3, Brazil’s largest stock exchange. Trading is expected to begin April 17.
The futures contract will use the Nasdaq Bitcoin Reference Price (NQBTC) index as its price reference. The value of each contract will be the equivalent of 0.1 bitcoin and will expire monthly.
The B3 explained in a statement:
“In this type of contract, the settlement will be exclusively financial, that is, there is no purchase and sale of cryptocurrencies. The financial results of the negotiations occur based on the price variation of bitcoin.”
Felipe Gonçalves, superintendent of interest and currency products at B3, explained:
“B3 is expanding its operations in the cryptoactive market, offering investors different ways to diversify their strategies. This launch meets the demand for a derivative product that allows protection from bitcoin price fluctuations or directional exposure to the asset, maintaining the security of operating in the Brazilian stock exchange environment.”
The B3 also signaled its intention to offer custody services for bitcoin and other digital assets to banks, brokerages and other companies operating in the sector.In its 2023 annual report, the exchange highlighted its desire to “offer the entire infrastructure for the digital asset process,” which also includes tokenization, smart contract creation, trading, settlement, risk management and proof of reserves attestation.
B3 also indicated that it wants to expand its crypto buying and selling servicethat was made by B3 Digitas and launched in 2022 via a partnership with Inter Invest - Banco Inter’s investment platform.
To see the full report, click through to this CoinTelegraph Brasil article
Hashdex’s US Bitcoin ETF Goes Live
Hashdex launched its spot bitcoin ETF in the US after completing the process of converting its existing bitcoin futures product to a spot offering. The launch means that all 11 of the ETFs approved by the SEC in January are now live.
The new product debuted for trading on March 27.
Hashdex said in a statement:
"Hashdex celebrates this major milestone and invites all investors, from veterans to bitcoin newbies, to engage in this movement that aims to simplify and expand access to digital assets. Finally, the manager states that it will continue to bring innovative and accessible to global investors."
Given the delays in launching incurred by the conversion process, the Hashdex product will have to play some catch-up against the like of Blackrock and Fidelity.
Hashdex CIO Samir Kerbage explained that the delay was incurred due to the process of converting from futures to spot — though the new product will maintain some exposure to futures. He told Valor:
“It was approved by the SEC for listing, but then we had to register the fund’s regulations. As it was the conversion of an ETF that already existed, it was a different model from the others”
However, Bloomberg analyst Eric Balchunas argues that he sees a scenario where the product gains market share if it offers a competitive rate.
Liqi teams up with Crypto.com on crypto-as-a-service offering
Liqi is partnering with Crypto.com to offer crypto-as-a-service to Brazilian companies, thereby allowing them to offer crypto brokerage services to their clients without needing to develop their own technology.
Crypto.com will serve as the international liquidity provider, with Liqi providing the technology and compliance infrastructure.
Liqi CEO Daniel Coquieri told Valor:
“Liqi just connects to Crypto.com's liquidity solution to do transactions and trades. Crypto.com has a service to provide liquidity, as if it were a liquidity pool.”
Liqi also works with other liquidity providers including Kraken and Coinbase, but it is prioritizing Crypto.com’s solution for its liquidity and other features that create a better end price for consumers.
Alain Yacine, president of Crypto.com in Latin America, said in a statement:
“This partnership reinforces Crypto.com's commitment to offering robust, secure and transparent solutions for the Brazilian market, enabling the institutional market to have access to a complete infrastructure for trading crypto assets.”
Valor Portal do Bitcoin CoinTelegraph Brasil
Acura Capital teams up with Patex to launch new digital bank
Acura Capital, one of Brazil’s largest funds with US$1.8 billion in AUM and US$3 billion under custody, is partnering with Patex to launch the Patex Digital Bank in Brazil.
The bank will offer a “comprehensive suite of services, including digital and crypto banking solutions” tailor-made for the Latin American region. It will offer issuance and trading of RWA tokens, passive income opportunities, rapid currency conversion and a digital wallet that supports assets across multiple blockchains.
Fernando Luiz de Senna Figueiredo, managing director at Acura Capital, said in a statement:
“By combining our respective strengths, we are creating a digital banking platform that pushes the boundaries of what is possible with technology. Our teams also deeply understand how to meet the needs of Latin American users. We are confident that our digital bank will provide a secure, intuitive and comprehensive banking experience that will bridge the gap between traditional financial services and the digital economy in such a promising region as Latin America.”
