Winklevoss twins seek Nasdaq listing for bitcoin ETF

The duo, who claimed Mark Zuckerberg stole their idea for a social-networking website, are seeking to open the Winklevoss Bitcoin Trust as the first ETF tracking a virtual asset.
MAY 19, 2014
An exchange-traded fund started by Cameron and Tyler Winklevoss to invest in the virtual currency bitcoin will be listed on the Nasdaq Stock Market, according to a filing with the Securities and Exchange Commission. The Winklevoss twins, who claimed Facebook Inc. founder Mark Zuckerberg stole their idea for a social-networking website, are seeking to open the Winklevoss Bitcoin Trust as the first ETF tracking a virtual asset. Winklevoss Capital Management is the fund's sponsor. Bitcoin, proposed in 2008 by a person or group using the name Satoshi Nakamoto, is a software protocol for issuing and moving money across the Internet. Prices for bitcoins surged above $1,100 last year before sliding to about $432 as of yesterday, according to CoinDesk, which tracks key exchanges. The Winklevosses owned about $10 million in bitcoins, or 1% 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 Thursday'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. (Bloomberg News)

Latest News

SEC bars ex-broker who sold clients phony private equity fund
SEC bars ex-broker who sold clients phony private equity fund

Rajesh Markan earlier this year pleaded guilty to one count of criminal fraud related to his sale of fake investments to 10 clients totaling $2.9 million.

The key to attracting and retaining the next generation of advisors? Client-focused training
The key to attracting and retaining the next generation of advisors? Client-focused training

From building trust to steering through emotions and responding to client challenges, new advisors need human skills to shape the future of the advice industry.

Chuck Roberts, ex-star at Stifel, barred from the securities industry
Chuck Roberts, ex-star at Stifel, barred from the securities industry

"The outcome is correct, but it's disappointing that FINRA had ample opportunity to investigate the merits of clients' allegations in these claims, including the testimony in the three investor arbitrations with hearings," Jeff Erez, a plaintiff's attorney representing a large portion of the Stifel clients, said.

SEC to weigh ‘innovation exception’ tied to crypto, Atkins says
SEC to weigh ‘innovation exception’ tied to crypto, Atkins says

Chair also praised the passage of stablecoin legislation this week.

Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest
Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest

Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.