Scotiabank Enters Multi-Crypto Fund Space through Dynamic Funds

Scotiabank's asset management arm, Dynamic Funds, has launched an actively managed multi-crypto fund in partnership with 3iQ. The Dynamic Active Multi-Crypto ETF, trading under the ticker DXMC on Cboe Canada since Wednesday, offers exposure to four cryptocurrencies: Bitcoin, Ethereum, Solana, and XRP. This move by one of Canada's largest banks reflects growing institutional interest in digital assets.

The fund's structure provides investors with access to a basket of digital assets through a single regulated product traded on a traditional exchange, without requiring them to hold or manage tokens directly on cryptocurrency platforms. The management fee has been reduced from 0.45% to 0.25% until March 1, 2027, described by Bloomberg ETF analyst Eric Balchunas as highly competitive.

Canada's approval of spot Bitcoin ETFs preceded the US, with 3iQ launching one of the world's first publicly traded spot Bitcoin funds in 2021. This fund surpassed CAD$1 billion (around $733.4 million) in assets under management, a notable milestone given the size of Canada's ETF market.