Winklevosses' bitcoin fund headed to Nasdaq

A landmark ETF in the virtual currency is planned by the twins who fought Mark Zuckerberg over who thought up Facebook.

By MSN Money Partner May 9, 2014 12:31PM

Tyler and Cameron Winklevoss during Mercedes-Benz Fashion Week on Feb. 8, 2013 in New York City (© Michael Loccisano/Getty Images for Mercedes-Benz Fashion Week)By Bloomberg.com

 

An exchange-traded fund started by Cameron and Tyler Winklevoss to invest in the virtual Bloombergcurrency bitcoin will be listed on the Nasdaq Stock Market, according to a filing today with the U.S. Securities and Exchange Commission.

 

The Winklevoss twins, who claimed Mark Zuckerberg stole their idea for a social-networking website to start Facebook (FB), are seeking to open the Winklevoss Bitcoin Trust as the first ETF tracking a virtual asset. Their Winklevoss Capital Management LLC, based in New York, is the fund’s sponsor.

 

Bitcoin is a software protocol for issuing and moving money across the Internet. Proposed in 2008 by a person or group using the name Satoshi Nakamoto, the value of bitcoins has varied.

 

The Winklevosses owned about $10 million in bitcoins, or 1 percent of the outstanding amount, when they filed their initial application with the SEC on July 1. About 12.7 million bitcoins had been created as of May 1, according to today’s filing.

 

The digital currency has gained traction with merchants selling everything from Sacramento Kings basketball tickets to kitchen mixers on Overstock.com to illegal narcotics.

 

It’s also drawn scrutiny for potential abuse. The SEC issued an alert to investors yesterday about the risks of bitcoins or other virtual-currency related investments.

 

More than 1,500 ETFs in the U.S. manage about $1.7 trillion, investing chiefly in stocks, bonds and commodities. ETFs, unlike mutual funds, issue shares that trade on an exchange like a stock. They typically track an index.

 

More at Bloomberg.com:

 

VIDEO ON MSN MONEY

0Comments

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

MARKET UPDATE

NAMELASTCHANGE% CHANGE
There’s a problem getting this information right now. Please try again later.
NAMELASTCHANGE% CHANGE
There’s a problem getting this information right now. Please try again later.
Market index data delayed by 15 minutes
[BRIEFING.COM] Nikkei...15529.40...+71.50...+0.50%.  Hang Seng...24428.63...+212.60...+0.90%. Nasdaq at... NYSE Adv/Dec 0/0... Nasdaq Adv/Dec 0/0.

Currencies

NAMELASTCHANGE% CHANGE
There’s a problem getting this information right now. Please try again later.
Sponsored by:

RECENT QUOTES

WATCHLIST

Symbol
Last
Change
Shares
Quotes delayed at least 15 min