chaintimes.com
The product will be launched as a joint venture between Mumbai-based Cosmea Financial Holdings and Hyderabad-based Kling Trading India. The venture, named Torus Kling Blockchain IFSC, stated that it would launch India’s first crypto ETF by the end of the current financial year. According to reports in local media on Jan. 14, the two firms signed a memorandum of understanding with the Bombay Stock Exchange’s international arm, India INX.
ETFs will be traded on GIFT City’s International Financial Services Centre.
The crypto-based product will be traded on GIFT City’s International Financial Services Centre (IFSC). Gujarat International Finance Tec (GIFT) City is a planned central business district in Gandhinagar in the city of Gujarat. The Torus Kling crypto futures ETF will be launched in a sandbox environment that allows regulated firms to launch and test products under strict conditions. The new ETF has yet to receive full regulatory approval, and Indian policymakers have been delaying the law on cryptocurrencies constantly.
The crypto exchange has already made an application to IFSC Authority under the regulatory sandbox.
India INX’s managing director and CEO, V. Balasubramaniam, said that the exchange has already made an application to IFSC Authority under the regulatory sandbox. Once approved, Indian crypto investors will be able to gain exposure to the fund using the Reserve Bank of India’s “liberalized remittance scheme” channel. Under the scheme, which the central bank launched in 2004, residents are permitted to remit up to $25,000 per year for investment and other purposes. Torus Kling Blockchain IFSC’s CEO, Krishna Mohan Meenavalli, said that “ETFs allow trading through regular investment accounts, bypassing the hassle and security concerns of cryptocurrency exchanges.”