Valkyrie Submits Application for Spot Bitcoin ETF to SEC, Joining BlackRock, WisdomTree, Others

Digital asset fund supervisor Valkyrie has submitted an software for a Bitcoin (BTC) spot exchange-traded fund (ETF) to the USA Securities and Change Fee (SEC). The applying provides Valkyrie to a listing of companies attempting to safe the first-ever spot Bitcoin ETF within the US.

Valkyrie submitted an S-1 Type to the SEC on Wednesday. In line with the submitting, the Valkyrie Bitcoin Fund will problem shares that mirror Bitcoin’s efficiency, minus liabilities and bills. As well as, the submitting states that Valkyrie will checklist with the “BRRR” ticker on the Nasdaq.

Valkyrie just isn’t new to Bitcoin ETFs because it launched the Valkyrie Bitcoin Technique ETF (BTF) in 2021, the second BTC futures ETF within the US. The fund supervisor additionally launched the Valkyrie Bitcoin Miners ETF (WGMI) in February. By way of WGMI, Valkyrie provides publicity to Bitcoin miner shares. Nonetheless, Valkyrie’s main focus is on firms a minimum of 77% powered by renewable power. The fund can even channel as much as 80% of its property to companies that make Bitcoin mining income of a minimum of 50%.

The SEC has but to approve a spot Bitcoin ETF. In Could, Cboe International Markets submitted its third software for the ARK 21Shares Bitcoin ETF after the SEC rejected the primary two. On Monday, asset managers Invesco Ltd (NYSE: IVZ) and WisdomTree additionally submitted Bitcoin ETF purposes to the Fee. The SEC rejected WisdomTree’s earlier proposal final October.

Curiously, BlackRock additionally joined the race for a spot Bitcoin ETF and utilized to the SEC. BlackRock’s application lists Coinbase because the Bitcoin custodian and Financial institution of New York Mellon (BNY Mellon) because the custodian for money holdings.

SEC Could Reject Valkyrie’s Spot Bitcoin ETF Utility

The SEC has beforehand rejected a number of spot Bitcoin ETF purposes from Fidelity Investments, Grayscale Investments, and the New York Digital Funding Group (NYDIG). In all instances, the SEC mentioned the proposals contained insufficient safeguards to forestall fraud and market manipulation.

Judging by its present stance, the SEC will seemingly reject Valkyrie’s spot Bitcoin ETF software. The Fee’s stance in opposition to Bitcoin ETFs has drawn the ire of the crypto group as many consider the SEC is being unnecessarily tough.

Final yr, Grayscale filed a lawsuit in opposition to the Fee, claiming that the SEC is solely making use of a “flawed” take a look at to Bitcoin ETFs. The funding agency filed a Petition for Review in opposition to the SEC hours after the Fee rejected the appliance. Grayscale additionally mentioned the SEC makes use of a ‘particular harshness’ to judge these proposals. Moreover, the corporate described the Fee’s rejections as “arbitrary and capricious”.

In March, a panel of judges listening to the case in opposition to the SEC requested the SEC to correctly clarify its rejections, particularly how manipulation or fraud could have an effect on futures and spot markets in another way.

Bitcoin is reacting nicely to the a number of purposes for a spot ETF. In line with CoinMarketCap information, Bitcoin has climbed practically 7% within the final 24 hours and is buying and selling above $30,000.

next

Bitcoin News, Blockchain News, Cryptocurrency news, Funds & ETFs, Market News

Tolu is a cryptocurrency and blockchain fanatic primarily based in Lagos. He likes to demystify crypto tales to the naked fundamentals in order that anybody anyplace can perceive with out an excessive amount of background data.
When he is not neck-deep in crypto tales, Tolu enjoys music, likes to sing and is an avid film lover.