ProShares to Launch First US ETF For Shorting BTC

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The Securities Exchange Commission of Mauritius (SEC) has granted a provisional approval to the launch and operationalisation of an Unobligated Clearing Facility in respect of short selling bitcoin within certain territories such as the United States, Canada, Japan and Australia.

The ‘Short-to-Trade’ facility will be used by foreign entities wishing to hedge against potential losses when trading bitcoin using our exchange products or services and/or engage us to perform any other activity which would otherwise have taken place under the existing derivatives contracts mentioned in this press release. This facility is being made available with consideration to ensure orderly settlement of transactions and protects from market volatility and technical disruptions resulting from factors beyond control of such participants. As part of these activities, we expect no significant cost savings for users and believe that our trading fees will remain at the level of previous contracts.

This new facility will allow persons who wish to execute short positions on btc (Bitcoin, Ethereum & Litecoin) to do so without a requirement to be licensed by an Authorised Market Operator (AMO). We are seeking to work with reputable crypto exchanges and institutions from around the world to enable it for their clients.

The SEC’s Acting Chairman, Professor Joseph M. Gagnon said: “I am pleased by the successful completion of the first round of public comment on this initiative which was open to the public until November 25, 2020. Over the past four months, however, I have been impressed by the great response to the announcement of this facility from both local and international investors, operators and traders. I look forward to hearing feedback from you all soon”.

BMO Capital Markets Limited will provide execution and clearing services. It will operate the futures and options contracts; and also offer a range of other trading and clearing functions. Other terms and conditions will apply to the service on behalf of BMO.

BMO Capital Markets Limited will act as dealer manager and custodian of the underlying assets in order to protect them from fraud and misappropriation. In accordance with applicable securities laws, they shall take all necessary steps to meet regulatory requirements where transactions involving cryptocurrencies will be executed.

BMO Capital Markets Limited will work closely with relevant regulators and AMOs and its customers to monitor compliance with rules and regulation and, subject to legal requirements, update it accordingly.

The Company believes that cryptocurrency has the power to create economic opportunity, facilitate fair trade, and empower individuals and businesses. BMO believes that cryptocurrency can play a role in building digital currency infrastructure, enabling greater transparency, innovation and competition. According to Chief Executive Officer William McDougall, the Group sees itself as shaping the future of finance through innovative technology, product leadership, industry expertise, best-in-class customer experiences and disciplined risk management.

He added: “We are extremely privileged to have already completed our initial coin offering (ICO) and now we are working with BMO to bring together two complementary groups: financial experts and blockchain innovators. Our aim is to develop innovative products which leverage synergies between our strengths and draw upon the combined global resources provided by our parent company, along with the expertise obtained globally from many years of investing experience and knowledge”.

To learn more about BMO Capital Markets please visit www.bmo.com.

For further information please contact BMO Investors Relations team members – Alexandra Scholz, Head of Investor Services, +1 604 895 8002, [email protected] or Simon Rogers, Head of Media & Publicity, +44 207 763 8123, [email protected]. Further details regarding investment opportunities are available at BMO Capital Markets website https://www.bmo.com.

About BMO

Serving customers for 200 years and counting, BMO provides a diverse group of personal and commercial banking, wealth management and corporate credit card products and services to approximately 5 million connections throughout North America and key international markets. BMO serves nearly 40% of U.S. households and 80% of Canadian households. BMO Wealth Management manages $1.6 trillion (as of September 30, 2020) in total client assets.

About CBA

CBA is regulated by the Commissions de la l’ Ourope et des Droits de l’Homme de Montréal (CBOd). It offers fixed income, equity, debt and cash management, advice (both in-person and online), and specialized advice. CBOD develops research recommendations concerning how society can make a positive difference to help people live better, healthier lives and overcome adversity and challenges through education, justice, social protection as well as access to good quality care. Through the support of third parties, CBOd helps advance the goals of these organizations and promotes excellence in governance and administration. Founded by the Conference Board, today CBOd leads the way in providing rigorous analysis, thought leadership, and practical actionable perspectives, making meaningful contributions to our understanding of the issues confronting society, our stakeholders, and our colleagues, partners and community members throughout the world. Learn more at cbod.ca.

About SEDIC

At Sedic, we believe that every decision should be informed by the law, rooted in empathy and principled innovation. With over 1,400 lawyers across 130 countries and 9,000 professionals in 2,400 offices serving some 240,000 cases each year, our deep experience, extensive network and relentless focus on delivering exceptional service has guided us through uncertainty, complexity and change. Atsedic is not only uncompromising on the rule of law but also true to our values of integrity and diversity. Each day we face the challenge of bringing together exceptional talent, the latest technological solutions and best practices to support our clients with clarity and confidence each time. Sedic was founded in 1968 in London, and today serves consumers, small and medium-sized enterprises, commercial banks and others via 20 subsidiaries globally. Follow us at sedic.com, @Sedic on Twitter and LinkedIn for news and updates, and subscribe to our YouTube channel.

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SOURCE BMO NATIONAL RESPONSIBILITY CORP

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