Spot Bitcoin ETF Applicants Submit Revised Applications
Several applicants for spot bitcoin exchange-traded funds (ETFs) have submitted revised versions of their applications to the US Securities and Exchange Commission (SEC) by the December 29 deadline. Invesco, Bitwise, WisdomTree, Fidelity, BlackRock, VanEck, and Valkyrie are among the firms that have made amendments to their Form S-1 filings.
Deadline for Amendments Set by the SEC
The SEC set a deadline of December 29 for final changes to spot bitcoin ETF filings. The commission is expected to make a decision on January 10, 2024, regarding the approval or denial of the first spot BTC ETF in the US. As a result, companies are rushing to finalize their submissions.
Grayscale Files Amended S-3 Filing
Grayscale, in response to the SEC’s announcement, filed an amended S-3 filing with the agency. This was done after the CEO of Grayscale’s parent company, Digital Currency Group (DCG), left Grayscale’s board of directors. The revised filing suggests that Grayscale and the SEC reached a compromise on the cash-only creation and redemption requirement.
Amendments by BlackRock, Valkyrie, VanEck, and Others
BlackRock, Valkyrie, and VanEck were the first to submit amendments on December 29. VanEck, in line with the SEC’s preferences, amended its application to state that only cash will be used to create and redeem shares. Fidelity, WisdomTree, Bitwise, and Invesco Galaxy followed suit and made their amendments on the same day.
Competition in Fees
The applicants for spot bitcoin ETFs have initiated a fee competition. Invesco, for example, will waive its fee for the first six months and the first $5 billion in assets. Fidelity, on the other hand, has set its fee at 0.39%. This fee war among the applicants is seen as normal in the ETF industry.
Hot Take: Spot Bitcoin ETF Applicants Revise Filings as SEC Decision Looms
With the deadline for amendments to spot bitcoin ETF filings set by the SEC, several applicants, including major players like Invesco, Bitwise, and Fidelity, have revised their applications. This rush to finalize submissions comes as the SEC is expected to make a decision on the approval or denial of the first spot BTC ETF in the US. The revisions include changes related to authorized participants, cash-only creation and redemption, and fee structures. This competition among applicants highlights the intensity of the ETF market and its impact on the emerging crypto space.
By
By
By
By
By