A French fund management company, Melanion Capital, has received its approval from the European Union in order to create a Bitcoin Stock ETF.
As it was decided that the proposal meets all of the rules required by the European Union, the company is now ready to create an ETF that will monitor the price of Bitcoin.
The standard used by the US is called the UCITS standard, previously known as the Undertaking for Collective Investment in Transferable Securities Directive.
The Bitcoin stock ETF will take into consideration the risk of loss and piracy of tokens. In order to make this possible, the company plans to invest in a series of stocks correlating to about 90% with the price of BTC.
The fund believes this is a safer option than actually investing in Bitcoin, as the ETF takes into consideration risk and piracy.