A Canadian investment firm was given the go-ahead by British Columbia to be the first bitcoin fund manager. The British Columbia Securities Commission’s awarded First Block Capital the position. And thus FrontFundr came to fruition.
Who is First Block Capital?
First Block Capital is an investment firm based out of Canada’s British Columbia. And to top it off, they are Canada’s first fully registered crypto investment firm. This year First Block Capital has accomplished great things. Earlier in July, following the release of FrontFundr, First Block Capital has started a bitcoin trust for Canada. And then September 6th, BCSC granted Front Block as the first registered investment fund of cryptocurrencies in Canada. And the cryptocurrency of choice; Bitcoin.
The Canadian government allows the provinces the power to give grants to businesses; and each holds equal weight in the matter independently. Twelve of the provinces operate under a “passport system”. This system allows firms that have a grant can easily become a grant in another province. Only Ontario is not included in the passport system. Which is not an issue for First Block Capital, as they are also registered in Ontario as an investment fund manager, and an exempt market dealer, just like with B.C. The main difference is, British Columbia is the primary regulator.
This is expected to change however as the Canadian government has plans to implement more control on a national basis in June of 2018.
First Block and FrontFundr
When first accessing FrontFundr it is very clear about how the investment in bitcoin can be dangerous. The first page on the website exemplifies the regulations specified by the BCSC. The primary goal of the bitcoin trust is to allow investors safety while investing into the cryptocurrency. Adding funds to the trust for the trustees to in turn invest into Bitcoin for you.
This is a large step for Canada putting a large emphasis on the future possibilities. Yet as the same time the Passport System makes the progression smaller. And thus much easier to monitor and address changes needed for the future. And at the same time this will display Bitcoin as a more legitimate currency in the present market.