In a back-and-forth that stretched longer than usual, the US Securities and Exchange Commission (SEC) once again issued comments on recent form updates submitted by companies requesting authorization to launch Bitcoin (BTC) ETFs.
Let’s recall that yesterday, as reported by CryptoNoticias, 7 companies presented Updates to your S-1 and S-3 forms Regarding the service fee that these ETFs will charge from their clients.
Bloomberg Intelligence hedge fund expert James Seifert Confirmed K The SEC commented on these forms And said that after today, January 9, new amendments should be introduced.
And so it is happening. At the time of this publication, BlackRock, VanEck, ARK, Grayscale, Fidelity, Widsom Tree, Valkyrie, Invesco, Franklin Templeton and Bitwise have submitted amendments.
The form shows changes that include warnings to investors about potential liquidity problems and risks of counterparty bankruptcy (facts that make it clear that owning shares of a Bitcoin ETF is not actually the same as owning Bitcoin).
You can read, for example, in BlackRock’s ETF application:
“If the Custodian Agreement, Lead Executing Agent Agreement, Authorized Participant Agreement or Bitcoin Business Counterparty Agreement is terminated or the Bitcoin Custodian, Lead Executing Agent, Authorized Participant or Bitcoin Business Counterparty does not provide the required services. The Trustee may be required to find and appoint a replacement custodian, enforcement agent, authorized participant or Bitcoin trading counterparty, which may challenge the Trust’s ability and ability to create and redeem shares, custody of the Trust’s Bitcoins. Confidence in going concern may be adversely affected.
Excerpt from BlackRock ETF application, i SHARES® BITCOIN TRUST
Seifert, of these reforms, says: “I don’t think this is a sign of a necessary delay.” And it shouldn’t be, since The SEC has until tomorrow, January 10, 2024, to publicly rule in favor of or against the ETF jointly proposed by the ARK and 21Shares companies.. The SEC can also approve multiple applications on the same day, and this means that any one company will be prevented from favoring another.
Seifert marveled at this unusual phenomenon:
“It’s almost unheard of to send a document to the SEC in the morning and receive comments the same day. “If they wanted to delay, the broadcasters wouldn’t have gotten the comments tonight.”
James Seifert, investment fund expert.
While all this is happening, the price of the digital currency remains near its highest level in nearly 2 years, a day after the possible approval of a spot bitcoin ETF in the United States. At the time of this publication, as can be seen in the CryptoNoticias price calculator, Each BTC trades at $46,560.
Updates 1/9/2024:
– 2:00 PM (UTC): It is reported that ARK has also submitted an amendment to its application.
– 2:27 PM (UTC): It is reported that Grayscale has also submitted an amendment to its application.
– 3:20 PM (UTC) Fidelity, Bitwise, Franklin Templeton, Valkyrie, Widsom Tree and Invesco are also reported to have submitted amendments to their application.
