CI Financial Corporation, Canada’s mutual fund managing company, reached its target of a $72 million fundraise through an initial public offering (IPO) of its Bitcoin Fund.
Thereby, it has enabled its customers to access cryptocurrency funds via their already existing investment channel’s. Clients would not need to create new accounts or platforms for the same.
CI Financial Corp stated to Bloomberg that the IPO consisted of shares which were sold at CAD 12.88.
Galaxy Digital Capital Management will help CI Financial Corp handle this investment and hence the name, CI Galaxy Bitcoin Fund shares. These shares would commence trade in the U.S. and Canada on the Toronto Stock Exchange.
Besides this, Galaxy Digital would be a part of the move.
The Bitcoin fund would be directly investing in Bitcoins, and as a security measure, the Bitcoin holdings would be put in the cold storage system. Investors could redeem fund units annually in the form of net asset value.
CI Financial Corp CEO Kurt MacAlpine said in an interview that the straightforward access to bitcoin, either individually or with the help of a financial adviser, can be a huge convenience for users who can avoid the longer route of other processes like wallets.
MacAlpine also pointed out that this offering has caught the attention of big investors, financial advisors, institutions, and too many individuals. Mainstream acceptance was viewed as a positive sign from the market.
CI Financial, founded in 1965, is one of Canada’s biggest mutual-fund manager. It had amassed assets worth up to C$215.6 billion under its management. CI Financial is currently continuing to expand its offerings beyond its usual mutual-fund business.