After a long wait and dozens of pending applications, the US Securities and Exchange Commission still approved the first Bitcoin ETF. This is an ETF application filed by ProShares.
ProShares updated its prospectus this Friday, indicating that approval to promote the Bitcoin Strategy ETF will take effect starting next Monday, October 18, with the assigned NYSE Arca ticker BITO.
As expected by many members of the cryptocurrency community, this is a futures ETF tied to the corresponding bitcoin contracts, and not directly to the actual price of the asset. The “pure” Bitcoin ETF, which closely monitors the value of the main cryptocurrency on the market, remains the subject of active discussion with US institutions and legislators.
In the beginning, companies insisted on this type of ETF. However, after the words of Gary Gensler that in the case of the rate for Bitcoin-ETF futures, the likelihood of approval is several times higher, many of them changed their tactics.
While many were celebrating, some in the crypto industry questioned whether the SEC had indeed voluntarily given the green light to futures ETFs by approving the application. For example, The Block journalist Frank Chaparro claims that the commission's deadline simply expired, after which the ProShares application was approved, in accordance with federal law. Many have called this "tacit approval."
Next in line is the Valkyrie ETF, which has a deadline of 25 October. But in his case, the SEC may well delay the decision until December 8, as it has done more than once before.
The search for a spot Bitcoin ETF does not end there, as potential issuers still face anxious anticipation of the SEC's decision. The first to receive a response to its application should be VanEck, whose spot Bitcoin ETF has been postponed more than once and is now expected until November 14, 2021.
One way or another, the approval of the first BTC-ETF futures was a landmark event and another important step towards the adoption of cryptocurrencies around the world.
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