Bitcoin Canada has gained trust from mutual funds

Canada's First Block Capital Inc. "first" and "single" Bitcoin (BTC) funds has obtained mutual fund trust status, which allows investors to place their fund units in independently registered accounts, according to a press release published Sept. 10.

First Block Capital Inc. (First Block) announces that investors in its flagship FBC Bitcoin Trust product - available to accredited investors only - can now place their holdings on these accounts as a Registered Pension Pension Plan (RRSP) and Tax-Free Savings Account (TFSA).

Basically this will allow accredited investors to deposit their funds into accounts that provide substantial tax benefits for pension and savings purposes.

There are several types of accredited investors in Canada which include but are not limited to: someone registered as an advisor or dealer by a securities regulator; someone who has a financial asset with an amount that exceeds $ 1,000,000 before tax; or someone whose net profit before tax exceeds $ 200,000 or $ 300,000 in each of the latest 2 calendar years.

As per press releases, the FBC Bitcoin Trust will be available for purchase on a decentralized independent crypto payment system, NEO Connect. Investment advisers can now buy and redeem FBC Bitcoin Trust on behalf of their accredited investor clients. First Block is reported to expect the majority of investors to start transferring funds in the first month. Marc van der Chijs, Co-founder and Chief Investment Officer of First Block, said:

"Our goal is to make investments in digital currency asset classes more accessible and we are one step closer to achieving this goal by allowing unit holders to place units in vehicles sponsored by government taxes, and by providing daily liquidity through NEO Connect, platform funds distribution with a fast growing dealer network. "

First Block Capital Inc. was approved by British Columbia Securities Commission (BCSC) back in September 2017 to ensure compliance with requirements when operating in Ontario, Canada and British Columbia.

At the time of the press, Bitcoin traded at $ 6.333, up less than 1 percent on the day, according to the Bitcoin Cointelegraph Price Index.