Cathie Wood’s ARK Invest Amends Bitcoin Spot ETF Filing to Improve Approval Chances
ARK Invest has made changes to its Bitcoin Spot ETF filing by including a surveillance sharing agreement (SSA), following the lead of BlackRock. The amendment is aimed at increasing the chances of approval from the U.S. Securities and Exchange Commission (SEC), which has previously denied similar products. The modified filing proposes that the Cboe BZX Exchange will enter an SSA with a US-based spot trading platform. While the specific exchange is not named, ARK claims it represents a significant portion of US-based Bitcoin trading. This move addresses the SEC’s requirement for a sufficient surveillance-sharing agreement, which was lacking in ARK’s previous ETF application.
Key Points:
- ARK Invest has amended its Bitcoin Spot ETF filing to include a surveillance sharing agreement.
- The modification aims to improve the chances of SEC approval.
- The proposal suggests that the Cboe BZX Exchange will enter an SSA with a US-based spot trading platform.
- ARK argues that this agreement, along with information from the Intermarket Surveillance Group on CME Bitcoin Futures, strengthens the ability to detect and deter manipulation.
- The inability to form a sufficient surveillance-sharing agreement led to the rejection of ARK’s previous ETF application.
- BlackRock’s filing included a similar provision, but Ark filed first, potentially giving it an advantage in approval.
Hot Take:
The inclusion of a surveillance sharing agreement in ARK Invest’s Bitcoin Spot ETF filing is a strategic move to address the SEC’s concerns and increase the chances of approval. By partnering with a US-based spot trading platform, ARK aims to strengthen its ability to detect and deter manipulation. This amendment follows a similar provision in BlackRock’s filing. However, as ARK filed first, it may have an advantage in the approval process. The SEC’s decision, expected in August, will shed light on the fate of these ETF applications and the potential impact on the cryptocurrency market.
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