Sunday , November 24 2024
Home / Bitcoin (BTC) / A New Attempt: VanEck Files for a Bitcoin ETF

A New Attempt: VanEck Files for a Bitcoin ETF

Summary:
Following a couple of unsuccessful attempts, the New York City-based giant asset manager VanEck has filed another document with the SEC to launch a Bitcoin ETF. If successful, the VanEck Bitcoin Trust would reflect the performance of the MVIS CryptoCompare Bitcoin Benchmark Rate.VanEck Tries Again For A BTC ETFFounded in 1955, VanEck is a giant US investment firm with about billion in assets under management as of 2019. The company has been actively involved with the cryptocurrency field as well, most notably – with attempts to set up a Bitcoin ETF.So far, though, VanEck has withdrawn both of its applications – the latest one in September 2019. Nevertheless, the firm has shown a commitment to launch such an exchange-traded product.VanEck has filed a new S-1 form with the US Securities

Topics:
Jordan Lyanchev considers the following as important: , , , , , , ,

This could be interesting, too:

Wayne Jones writes Charles Schwab to Launch Spot Crypto ETFs if Regulations Change

Wayne Jones writes Here’s When FTX Expects to Start Repaying Customers .5B

Dimitar Dzhondzhorov writes Is Cryptoqueen Ruja Ignatova Alive and Hiding in South Africa? (Report)

Wayne Jones writes Casa CEO Exposes Shocking Phishing Scam Targeting Wealthy Crypto Users

Following a couple of unsuccessful attempts, the New York City-based giant asset manager VanEck has filed another document with the SEC to launch a Bitcoin ETF. If successful, the VanEck Bitcoin Trust would reflect the performance of the MVIS CryptoCompare Bitcoin Benchmark Rate.

VanEck Tries Again For A BTC ETF

Founded in 1955, VanEck is a giant US investment firm with about $50 billion in assets under management as of 2019. The company has been actively involved with the cryptocurrency field as well, most notably – with attempts to set up a Bitcoin ETF.

So far, though, VanEck has withdrawn both of its applications – the latest one in September 2019. Nevertheless, the firm has shown a commitment to launch such an exchange-traded product.

VanEck has filed a new S-1 form with the US Securities and Exchange Commission to establish a Bitcoin ETF called The VanEck Bitcoin Trust. As with previous applications, this ETF’s shares would be traded on the Cboe BZX Exchange.

“In seeking to achieve its investment objective, the Trust will hold bitcoin and will value its shares daily based on the reported MVIS CryptoCompare Bitcoin Benchmark Rate.” – reads the document. It added that “VanEck Digital Assets LLC is the sponsor of the Trust, and Delaware Trust Company is the trustee of the Trust.”

sec_cover
US Securities And Exchange Commission. Source: CNBC

Challenges And Hopes For A SEC-Approved BTC ETF

Apart from the two unsuccessful applications from VanEck, the SEC has dismissed numerous other similar attempts. Back in 2018, the Commission rejected nine applications in just one day.

This has raised questions within the community if the watchdog will ever approve a Bitcoin ETF. The former SEC Chair, Jay Clayton, said last year that an exchange-traded product tracking the primary cryptocurrency is possible, but “there’s work left to be done.”

Clayton highlighted that organizations need to address crucial issues, including price manipulation and bitcoin custody, before hoping to receive SEC approval.

With that in mind, VanEck’s timing seems rather intriguing. The company’s latest attempt has come shortly after Clayton stepped down.

Nate Geraci, president of the investment advisory firm ETF Store, told Bloomberg that filing for a Bitcoin ETF at this moment suggests that VanEck believes there’re “shifting viewpoints within the SEC.”

Geraci outlined that President Biden’s choice for the next SEC Chair will be the “key” to resolving this drama.

You Might Also Like:

Leave a Reply

Your email address will not be published. Required fields are marked *