The BBVA Group announced the incorporation of a bond traded on the stock market that follows the performance of bitcoin, according to the information published on its website on June 23, 2023.
Following the introduction of custody and trading services for bitcoin and ether in Switzerland, the financial group includes in its portfolio the Fidelity Physical Bitcoin ETN (Exchange Traded Note), as shown in the official post.
The Fidelity Physical Bitcoin ETN, managed by Fidelity Exchange Traded Products GmbH, is a financial instrument regulated and supervised by the German Federal Financial Supervisory Authority (BaFin).
It is important to highlight that the new product offered by BBVA to its customers has obtained the corresponding registration in the National Securities Market Commission (CNMV) through the European community passport, ensuring its regulatory compliance.
The information reviewed on the bank’s website highlights that the Bitcoin ETN is restricted to individual clients who have previously evaluated its suitability and are familiar with the specific risks of crypto assets and ETNs.
In addition, the product offered by the financial institution It can only be purchased through the BBVA web platforms and mobile application. The entity has decided not to offer the product in its branches or provide advice related to it.
To execute buy-sell orders, the user must adhere to the ETN’s trading hours, which are adjusted to those of the Frankfurt Stock Exchange, allowing transactions only during its opening and closing hours.
Once purchased, clients will be able to track the performance of their investment alongside other assets in BBVA’s global portfolio of securities.
“The ETN issued by Fidelity allows BBVA clients in Spain who wish to expose part of their investments to the performance of Bitcoin to operate through the mobile application and the web, as long as they are aware of the risks associated with this type of investment. “, says Francisco Maroto, head of Blockchain and Digital Assets at BBVA.
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Investments in crypto assets are not regulated. They may not be suitable for retail investors and the entire amount invested may be lost. The services or products offered are not directed or accessible to investors in Spain.