VanEck renews its efforts for a new Bitcoin ETF amid the changes at the US Securities and Exchange Commission as reported previously in our crypto news.
The investment management company VanEck renews its efforts to launch a BTC ETF as it filed with the US Securities and Exchange Commission on Wednesday to win approval for a VanEck BTC trust. Before the Wednesday filing, VanEck retraced its latest push for a BTC ETF with the SEC in September 2019. As it was proposed in the previous filing, the ETF will trade on Cboe BZX Exchange but so far, the regulator denied all attempts to launch the ETF.
However, VanEck and other financial companies feel a sense of renewed confidence on the heels of the strong BTC adoption in 2020. The number one cryptocurrency caught the attention of billionaires and institutional investors this year because the asset already hit $34,000. MicroStrategy CEO Michael Saylor said that his company plans to own $1 billion worth of BTC while other major companies like Square and MassMutual made some smaller bets on the leading cryptocurrency. the SEC Chairman Jay Clayton stepped down from his position back in 2020 and left more room for crypto-friendly regulators to take the reins once when Joe Biden steps into office.
The consequence of a BTC ETF will be extremely significant as Macro analyst and investor Raoul Pal said that there’s a wave of institutional investors that are waiting for the launch of this trust.
As recently reported, The BTC ETF is seen as advantageous because it trades on the stock market in a way that some shares of popular companies like Apple and Microsoft do. VanEck already proposed one ETF in the past but withdrew its most recent application in September 2019. At that time, the company said that they are committed to an exchange-traded product. As with the previous applications, VanEck said that an ETF will trade on CBOE BZX Exchange. So far, the SEC considered most of its applications for BTC-based ETFs and rejected them all so in 2018 it also rejected nine other proposals, similar to this one. Despite that, VanEck proposed a Bitcoin ETF once again and according to the application, the number of outstanding shares will depend on how much BTC will be delivered to the Trust and held by the undesignated custodian.
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