At least two investment firms have filed new applications for spot bitcoin exchange-traded funds (ETFs), after investment giant BlackRock filed a similar application for its own spot bitcoin ETF on June 15..
WisdomTree asset management fund, based in New York, is the latest investment firm to file a new application for a spot bitcoin ETF.
According to one application submitted on June 21 to the United States Securities and Exchange Commission (SEC), WisdomTree asked the SEC to allow it to list its “WisdomTree Bitcoin Trust” on the Cboe BZX exchange under the ticker “BTCW”.
—Eric Balchunas (@EricBalchunas) June 20, 2023
WisdomTree has applied for a spot bitcoin ETF h/t @NateGeraci
WisdomTree has applied for a spot bitcoin ETF on two previous occasions. Its first application was rejected by the SEC in December 2021. Its second application was rejected yet again in October 2022, with the financial regulator citing similar fraud and market manipulation concerns. As of this writing, WisdomTree oversees approximately $83 billion in assets.
One of the main differences of BlackRock’s recent filing with the SEC is that it purports to enter into a “shared watch agreement” with Chicago Mercantile Exchange (CME) futures marketsfor its acronym in English).
BlackRock’s proposal appointment SEC approval of a bitcoin futures fund from investment advisory firm Teucrium. That resolution noted that CME “extensively monitors futures market conditions and price movements in real time and on an ongoing basis for the purpose of detecting and preventing price distortions, including price distortions caused by manipulative efforts.”
This has also been echoed in the presentation of WisdomTreewhich claims it is also willing to enter into such a surveillance agreement with “a US-based bitcoin spot trading platform operator.”
Less than four hours after WisdomTree submitted its request, global investment manager Invesco “reactivated” its application for a similar product.
And now Invesco has reactivated their 19b-4 for their spot ETF https://t.co/D2zTpqrqJH
—Eric Balchunas (@EricBalchunas) June 20, 2023
And now Invesco has revived its 19b-4 for its spot ETF.
According to him document 19b-4—informing the SEC of a proposed rule change— Invesco has applied to the financial regulator to allow its “Invesco Galaxy Bitcoin ETF” product to be listed on the Cboe BZX exchange..
The presentation notes that a spot bitcoin ETF that uses “professional custodians and other service providers,” eliminates the need for investors to rely on “lightly regulated offshore vehicles” in turn, allowing investors to more easily “protect their core bitcoin investments.”
Yes ok the SEC has yet to approve a single spot bitcoin ETF productSenior ETF analyst at Bloomberg Eric Balchunas said “BlackRock breathed new life into the race” in response to his own tweet regarding the WisdomTree filing.
Fun fact: BlackRock’s record of getting ETFs approved by the SEC is 575-1. That’s another reason this is so big, they don’t play around. https://t.co/f7YIhGRmLf
—Eric Balchunas (@EricBalchunas) June 16, 2023
Fun fact: BlackRock’s record for ETF approval by the SEC is 575-1. That’s another reason why this is so big, they don’t mess around.
In addition, Balchunas said that heCrypto investors may have good reason to be bullish on BlackRock’s move, sharing that the investment firm has a “575-1” record in getting ETFs approved by the regulator..
In addition to the recent activity of WisdomTree and Invesco, they have begun to circulate rumors that multi-billion dollar fund manager Fidelity Investments may also be looking to capitalize on the new frenzy for spot bitcoin ETFs.
According to a Tweet June 19 from Arch Public co-founder AP_Abacus, Fidelity Investmentswhich manages some 4.9 trillion dollars in assets, you could apply for your own spot bitcoin ETF. Alternatively, Abacus notes that the investment firm could make an offer on Grasyscale’s GBTC ETF product.
Cointelegraph reached out to Fidelity for confirmation, but did not receive an immediate response.
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