Exchange Traded Fund For Bitcoin To Be Liquidated Close To October’s Conclusion, Announces Valkyrie Funds

One of the major fund managers for cryptocurrencies in the United States ‘Valkyrie Funds’ recently had a sad announcement for the crypto community.

The fund manager announced that they have decided that they will proceed with the liquidation of the exchange-traded fund (ETF) for Bitcoin.

As per communication, Valkyrie Funds wants to do it by the end of October.

Valkyrie Funds to Liquidate Bitcoin ETF

On October 11, the officials at the Valkyrie Funds took to Twitter and other social media platforms to communicate the company’s decision.

On that particular day, Valkyrie Funds announced that they have made a final decision of shutting down the Valkyrie Balance Sheet Opportunities exchange-traded fund.

With the launch of the particular product, Valkyrie Funds was able to offer indirect crypto exposure to its clients. As the name suggests, it is Valkyrie fund’s Bitcoin ETF that the firm is to liquidate.

Delisting from NASDAQ

The teams at the Valkyrie Funds have confirmed that they have already made the arrangements for the delisting of the BTC ETF from the NASDAQ Exchange.

The delisting of the particular ETF has been scheduled to take place on October 31, 2022. The announcement further clarified that the last trading day for the particular ETF would be October 28.

As October 28 would be Friday, it would be considered the last trading day for the ETF. Therefore, the traders would be able to carry out their buying and selling activities until the trade ends on October 28.

The investors who do not liquidate sell or liquidate funds by October 28 would have their assets liquidated automatically.

Following the liquidation, they would be eligible to receive a cash distribution that would be equal to their shares’ net asset value.

The reason behind the Liquidation

Valkyrie Funds also issued a statement confirming the reason they had to proceed with the liquidation of the ETF fund.

The executives revealed that their company has always done things for the benefit of their clients. When the product was launched, it was launched keeping in mind the interest and the demand coming from their clients.

Over time, they have witnessed a significant pull in the client’s interest in the particular product. Therefore, it was necessary for the executives and the stakeholders to decide what they needed to do.

Finally, after considering the entire situation in detail, they have decided that it is in the better interest of everyone if the product is liquidated.

This is yet another company pulling out from providing their clients indirect exposure to Bitcoin.

After all the troubles BTC had to go through to gain mainstream adoption, the running year has been reversing all of it for Bitcoin.