Switzerland’s Financial Market Supervisory Authority, FINMA, has approved the country’s first retail fund under Swiss law that invests directly in Bitcoin. Announced on Oct. 20, the approval exempts the fund from diversification requirements, citing Bitcoin’s long trading history and high trading volume compared with other cryptocurrencies. The fund falls into the category of other funds for alternative investments, which covers products carrying particular risk. FINMA has not named the issuer, disclosed fees or set a trading start date. The fund is legally distinct from Swiss exchange-traded products, which SIX describes as collateralized debt securities rather than collective investment funds. Custody safeguards, bankruptcy protections and duties under the Swiss Financial Services Act remain in force, including prominent risk warnings and suitability or appropriateness checks. FINMA cautioned that investors can still lose substantial value when Bitcoin prices fall. At the time of reporting on Oct. 21, Bitcoin traded at about $83,188, up 2.30% over 24 hours but down 0.23% over seven days and 0.65% over 30 days.