The price of bitcoin has jumped more than 8% in the past 24 hours after a number of documents from the United States Securities and Exchange Commission (SEC) web portal indicated that the exchange-traded fund (ETF) Proshares Trust could be listed as early as next week. Proshares filed a post-effective amended prospectus on Friday that shows the company’s intention to launch on Monday, October 18 on NYSE Arca.
Bitcoin Price Spikes As Strong Signals Suggest Bitcoin Futures ETF May Launch Next Week
On Friday afternoon, the crypto community saw the price of bitcoin (BTC) climb very close to the all-time high for the crypto asset. During late afternoon trading sessions, BTC hit a daily high of $ 62,945 per unit around 5:30 p.m. EST. The reason for this increase is likely due to a number of documents filed with the Securities and Exchange Commission (SEC) that strongly appear to indicate that a bitcoin ETF will be launched soon.
The first signal was from James Seyffart, analyst at Bloomberg Intelligence who tweeted about Bloomberg’s data team “adding the Proshares Bitcoin Strategy ETF to the terminal”. Seyffart added: “[The] the ticker will be $ BITO. 95 bps – less than half of GBTC’s 2% charge. This thing is going to live next week. Either Monday or Tuesday. Sharing this Form 8A document, Bloomberg Intelligence analyst continued:
We must also add that [Valkyrie Funds] filed their 8A which essentially registers a security for trading on [an] to exchange. Nothing Proshares on this front at the moment. So Valkyrie [is almost] will definitely start trading next week too if I had to guess.
Prospectus amended after entry into force of the Proshares trust
In addition to Seyffart’s comment on Twitter, Proshares filed a post-effective amended prospectus for its ETF on Friday. The amended documents indicate that the Proshares bitcoin ETF intends to launch on October 18, 2021, and the file also indicates that the ticker will be called “$ BITO”. While the Proshares ETF may be the first to be listed as a bitcoin ETF approved by US regulators, it will deal with bitcoin derivatives.
The Proshares ETF will be a bitcoin-based futures product and analysts doubt a BTC spot market ETF will get the go-ahead from the SEC this year. There has been a lot of confusion over whether the SEC actually approved a bitcoin ETF on October 15 and there are speculation signals that could change. Seyffart’s comment on Friday afternoon on Twitter also shares a tweet he wrote on October 8 when he declared:
The SEC has done the approval so many times already that I can’t help but wonder what lies ahead. We (and all potential transmitters) are basically Charlie Brown trying to throw a soccer ball.
Speculation regarding the Valkyrie ETF
People are still skeptical because the US regulator has vocally rejected Bitcoin ETFs, but has not officially said anything about approving a crypto exchange-traded fund. Others also shared documents regarding Valkyrie’s Bitcoin exchange-traded fund, as many have speculated on its approval.
Still, a few people have said that Document 8A regarding Valkyrie’s Bitcoin Strategy ETF does not necessarily mean guaranteed approval.
“The SEC has yet to approve Valkyrie’s Bitcoin Strategy ETF …”, the Bitcoin Archive Twitter account Recount its 539,600 subscribers. “This is a notice from Nasdaq to the SEC that they have approved the securities and are awaiting a decision from the SEC. That’s it.”
Gabor Gurbacs from Vaneck responded to the Bitcoin Archive tweet and said, “Good catch. There are so many endorsements that people don’t [know] when a real approval is. MDR. ”Bitcoin Archive responded to Vaneck’s executive and noted: “The guys at Bloomberg think it’s 99% certain Monday through Tuesday, but we don’t have confirmation until [the] The SEC says so.
What do you think of the new documents filed with the SEC that give the impression that the US regulator has approved an ETF based on bitcoin futures? Let us know what you think of this topic in the comments section below.
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