• The SEC is now seeking public input on Bitcoin ETF filings submitted via the Cboe exchange.
• A surveillance-sharing agreement (SSA) was established between Coinbase and the four ETF providers prior to listing.
• Bitcoin ETFs can provide an avenue for investors to participate in the Bitcoin market without owning or trading directly.
Opening of Public Comment Period
The Securities and Exchange Commission (SEC) has opened a period of public comment regarding the filing of four Bitcoin Exchange Traded Funds (ETFs) through the Cboe BZX Exchange, Inc. Details on how to submit comments can be found on the SEC website, with all comments being published publicly upon submission.
Surveillance-Sharing Agreement (SSA)
Prior to listing their respective ETFs, Fidelity, WisdomTree, VanEck and Invesco entered into a Surveillance-Sharing Agreement (SSA) with Coinbase which aims to address potential issues related to fraud and market manipulation that have previously hindered attempts at launching spot Bitcoin ETFs. Under this agreement, Coinbase will share any information related suspicious activities with the regulator.
Benefits of Bitcoin ETFs
Many believe that Bitcoin ETFs are crucial for wider adoption of cryptocurrency since they offer investors an opportunity to gain exposure to the digital asset without having to own or trade it directly. By providing access through stock exchanges these products can attract new users into the space according to Morningstar.
Canadian & European Availability
Bitcoin ETFs are already available in Canada and Europe is set for launch later this month by Jacobi Asset Management.
Optimism is growing within crypto circles as more applications continue to be made and Blackrock’s application recently approved by regulators. It is hoped that these products will help spur even greater adoption of cryptocurrency globally than ever before seen