BlockFi Files for Physically Supported Bitcoin ETF

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Cryptocurrency lender BlockFi has filed documents with the United States Securities and Exchange Commission, or SEC, to launch a physically backed Bitcoin exchange-traded fund, kicking off what is expected to be a big week for the markets. of crypto.

The Form S-1 filing for BlockFi NB Bitcoin ETF was submitted to the SEC on Monday, according to official documents. The record indicates that BlockFi will serve as the custodian and that the investment objective of the ETF is to reflect the underlying performance of Bitcoin as opposed to any benchmark of futures or derivatives.

The record further states that the Trust will not buy or sell bitcoin directly, although the Trust may order the custodian to sell bitcoin to pay for certain expenses.

News of the ETF listing has circulated on Crypto Twitter amid speculation that the SEC may be approaching its first physical Bitcoin ETF approval as early as this week.

BlockFi has filed with the SEC to launch a #Bitcoin ETF spot pic.twitter.com/2F1s0D1N3W

Dylan LeClair (@DylanLeClair_) November 8, 2021

As Bloombergs James Seyffart noted, the SEC’s decision on the much-anticipated Bitcoin ETF spot VanEck is expected next Sunday. It will either be an approval or a denial by the SEC, he said, which means more delays.

Here is the current list of #Bitcoin and Crypto ETF deposits with the SEC. The next big date is always 11/14/21 for VanEck’s Bitcoin spot ETF. It will either be an approval or a denial by the SEC – no more delays. https://t.co/Z8phpVlsOK pic.twitter.com/g9ayoibmQN

James Seyffart (@JSeyff) November 8, 2021

Related: Why Now? The SEC Took Eight Years to Authorize a Bitcoin ETF in the United States

Last month, the U.S. securities regulator approved the Bitcoin Strategy ETF of ProShares, the country’s first BTC exchange-traded fund. However, the approval came with a caveat that the price of funds is tied to BTC futures as opposed to spot price. Shortly after approving the ProShares fund, the SEC gave the green light to Valkyries Bitcoin Strategy ETF, which is another commodity based on futures contracts.

While ETFs based on futures are not what Bitcoin purists have been looking for, they have proven to be remarkably popular among investors. As Cointelegraph reported, the ProShares ETF debuted with the highest natural volume on day one on day one of over $ 1 billion. By the end of October, institutional managers had purchased more than $ 2 billion worth of Bitcoin products during the month, largely thanks to ETF approvals.

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