The crypto world stands on the brink of a historic moment as the final deadline for Ark Invest’s Bitcoin Spot ETF approaches in a mere 49 days. This event is poised to pave the way for the long-anticipated approval of the first Bitcoin spot ETF, signaling a significant evolution in the cryptocurrency market.
The regulatory landscape has been dynamic, with several prominent players vying for approval from the U.S. Securities and Exchange Commission (SEC). Notably, Ark Invest, led by visionary investor Cathie Wood, is in the spotlight with its groundbreaking Bitcoin Spot ETF. The industry watches closely, aware that the SEC’s decision on Ark’s ETF could set a precedent for others in the pipeline.
The dynamics of the approval process are crucial. Speculations abound that the SEC is unlikely to reject Ark’s ETF and subsequently approve BlackRock’s Spot ETF. The anticipation grows stronger as Grayscale, having triumphed in a lawsuit against the SEC, positions itself favorably for ETF approval. This legal victory bolsters the prospects of all spot ETFs securing the green light, potentially putting Grayscale at the forefront.
BlackRock, the world’s largest asset manager, initiated the race by filing for its iShares Bitcoin Trust in June 2023. If approved, this ETF will trade on Nasdaq, utilizing Coinbase Custody for crypto custody and BNY Mellon for cash custody. Grayscale Investments seeks to convert its Grayscale Bitcoin Trust into an ETF, and Fidelity aims to launch its Wise Origin Bitcoin Trust with Cboe Global Markets.
Ark Invest, in collaboration with 21Shares, is another contender with its ARK 21Shares Bitcoin ETF, refiled for the third time on June 28. WisdomTree and Valkyrie Digital Assets are also in the running, having refiled their Bitcoin Trusts in June 2023. Valkyrie, having faced a previous SEC rejection in December 2021, reemerges with the Nasdaq-listed Valkyrie Bitcoin Fund.
Invesco, in partnership with Galaxy Digital, brings further momentum with its Invesco Galaxy Bitcoin ETF, amending its application in October 2023. HashDex, entering the scene in September 2023, adds to the array of contenders seeking SEC approval for a spot in Bitcoin ETF.
The anticipated approval of Bitcoin ETFs by the SEC in mid-January is seen as a significant moment for digital currency investing. Analysts predict a market worth around $100 billion, which is attracting attention from major players such as BlackRock and Fidelity. Wealth managers, like Jeff Janson, are gearing up for possible institutional interest, which could have a transformative effect.
