tl;dr
Nexo and 7RCC Global are seeking approval from the US Securities and Exchange Commission for a new fund called the Nexo 7RCC Spot Bitcoin and Carbon Credit Futures ETF. This ETF would allocate 80% to Bitcoin and 20% to Carbon Credit Futures, focusing on emissions allowances from established cap-and-...
Nexo and 7RCC Global have introduced an ESG-centric Bitcoin ETF that focuses on environmental sustainability and profitability. The ETF diversifies its portfolio with 80% Bitcoin and 20% Carbon Credit Futures, aligning with cap-and-trade systems. This initiative pioneers the embedding of ESG principles in cryptocurrency investment, setting a new benchmark in financial instruments. The collaboration promises broader societal benefits and aligns with the World Economic Forum’s Safeguarding the Planet initiative.
Nexo and 7RCC Global are seeking approval from the US Securities and Exchange Commission for a new fund called the Nexo 7RCC Spot Bitcoin and Carbon Credit Futures ETF. This ETF would allocate 80% to Bitcoin and 20% to Carbon Credit Futures, focusing on emissions allowances from established cap-and-trade systems. The collaboration also aligns with the World Economic Forum’s Safeguarding the Planet initiative, emphasizing a commitment to environmental progress.
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.
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.
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.
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.
Beyond the ETF, Nexo’s collaboration with 7RCC Global also promises broader societal benefits and aligns 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.