America’s First Bitcoin Futures ETF May Debut Monday, Deposits Says

[ad_1]

(Bloomberg) – Asset manager ProShares has announced plans to launch a Bitcoin futures exchange-traded fund on Monday, a move that would end an eight-year wait for a security tracing the cryptocurrency in the market American scholarship holder, according to a file.

Bloomberg’s Most Read

On Friday evening, the fund manager filed an updated prospectus with the Securities and Exchange Commission for the Bitcoin Strategy ETF (ticker BITO). The record showed Oct. 18 as the approximate date for the proposed launch of the fund, which will trade on the NYSE Arca Exchange and charge a management fee of 0.95%. A ProShares official declined to comment. An SEC spokesperson did not immediately respond to a request for comment.

Bloomberg News reported on Thursday that the SEC is unlikely to prevent products from starting trading next week, according to people familiar with the matter. Barring a last-minute reversal, the fund’s launch will be the culmination of a nearly decade-long campaign led by the $ 6.7 trillion ETF industry. The twins best known for their role in the history of Facebook Inc., Cameron and Tyler Winklevoss, filed the first Bitcoin ETF application in 2013.

An ETF has been out of reach for U.S. issuers for nearly a decade, with regulators citing concerns about everything from price manipulation to validating ownership of coins held by funds. The background music changed in August, when SEC chief Gary Gensler reported favorable funds based on CME-traded Bitcoin futures filed under a 1940s statute – a position that he reiterated at the end of last month.

This opening stimulated a flood of deposits backed by futures contracts. Wall Street could see four Bitcoin ETFs backed by futures contracts start trading on U.S. exchanges this month, with application deadlines for Invesco Ltd., VanEck and Valkyrie also approaching.

The story continues

Bitcoin has surged in recent weeks, fueled by speculation that a US launch may be imminent. The world’s largest cryptocurrency on Friday surpassed $ 62,000 for the first time since April, just below its all-time high of $ 64,869 set earlier this year. Bitcoin has more than doubled from its late July low.

(Updates with the Bitcoin price chart.)

Bloomberg Businessweek Most Read

2021 Bloomberg LP

[ad_2]