2021 was an explosive year for Bitcoin as the crypto asset hit new all-time highs as demand for cryptocurrencies soared. Meanwhile, some proponents of crypto are expecting the first Exchange Traded Fund (ETF) to be approved this year as a number of companies battle to launch an ETF. On Friday, Texas-based company Valkyrie Digital Assets submitted an ETF registration proposal called Valkyrie Bitcoin Trust in hopes of listing the fund on the New York Stock Exchange (NYSE).
Crypto proponents are expecting approval of a Bitcoin Exchange-traded fund in the US this year
This year could be the year US regulators approve a bitcoin (BTC) -based Exchange Traded Fund (ETF) hosted on a major exchange. For example in December news.Bitcoin.com reported via Vaneck’s Bitcoin-based ETF filing with the US Securities and Exchange Commission (SEC).
Vaneck this week too filed for another exchange-traded fund called Digital Asset ETF, which aims to hold stakes in companies that generate revenue from cryptocurrency services. At the same time, the Canadian investment fund manager Arxnovum Investments filed for a Bitcoin-based ETF with the Canadian Ontario Securities Commission.
Now, another company has joined the Bitcoin ETF race when Texas-based Valkyrie Digital Assets signed up for a Bitcoin fund on Friday January 22nd. Valkyrie states in filing that the Trust intends to list the shares on the NYSE Arca. After the filing was public, crypto advocates discussed the new ETF listing on social media. For example, crypto CFA James Seyffart talked about Valkyrie’s ETF registration and told his 3,800 Twitter followers he was expecting approval for the Bitcoin ETF this year.
“And there is another participant in the Bitcoin ETF Race,” said Seyffart said. A list of all companies applying for a Seyffart exchange traded fund continues to be displayed wrote: The current state of the Bitcoin ETF race with a new late entrant. Important note: As far as I can tell, no 19b-4s were submitted. These are the filings that the SEC begins this 240 day clock to make a decision on. “Seyffart added::
Putting my neck out a bit – I think we’ll see a U.S. Bitcoin ETF in 2021 if Gensler is confirmed to head the SEC. The guy is very knowledgeable about blockchain / crypto. He even teaches a class on the subject at MIT. Even so, I think you can expect new regulations for the crypto room from the SEC. Do not think that we will see outright bans as some Bitcoin bears like to claim. But we will definitely see increased scrutiny and regulation, as Mike McGlone has also explained.
Valkyrie insists that an ETF is an inexpensive and convenient way to invest in Bitcoin
Valkyrie believes the ETF will provide investors with a more accessible investment method BTC. “The purpose of the trust is to hold bitcoins, which is a digital commodity based on the cryptographic protocols used by the decentralized peer-to-peer bitcoin computer network,” the Valkyrie file said.
The filing of the Valkyrie ETF emphasizes that investing in the trust involves significant risk. The registration of the Valkyrie Bitcoin Fund further underscores that the fund may not be suitable for Shareholders who cannot take additional risks.
“The trust’s investment objective is to have the stocks reflect the performance of a bitcoin as represented by the index, less the trust’s liabilities and expenses. The shares are designed to provide investors with an inexpensive and convenient way to invest in Bitcoin, ”adds the registry of the investment firm.
Do you think regulators will approve a Bitcoin ETF in 2021? Let us know in the comments below.
Photo credit: Shutterstock, Pixabay, Wiki Commons, The Valkyrie ETF Filing, NASCAR
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