The Future Course Of Bitcoin ETF: Charting The Way Forward

Asset managers applying for regulatory approval for a spot Bitcoin ETF must submit final amendments by Jan. 8. Analysts anticipate potential trading to commence by Jan. 11.

The progression towards the launch of a spot Bitcoin exchange-traded fund (ETF) on Wall Street is underway, with asset managers expected to finalize their revisions by the morning of Jan. 8, as per insights from Bloomberg analyst Eric Balchunas.

S-1 filings must be submitted by 8:00 a.m. ET or 13:00 UTC, disclosing remaining fees and tickers. Notably, BlackRock hasn’t revealed its ETF fees.

After markets closed on Jan. 5, exchanges planning to trade the crypto funds submitted their 19-b forms. According to the analyst speaking to CoinNerd, the 19-b and S-1 forms together represent the final stages before a decision from the United States Securities and Exchange Commission (SEC).

The SEC commissioners’ vote might mark the upcoming phase in the decision-making process. As per the commission’s public agenda, no scheduled events precede Jan. 11, which aligns with market expectations for the ETFs’ launch. Balchunas suggests the SEC could utilize its delegated authority policy to make the decision.

Balchunas anticipates that the majority of applicants meeting the regulator’s prerequisites before Dec. 29 will likely receive approval next week. The analyst also pointed out that Grayscale, aiming to convert its over-the-counter Grayscale Bitcoin Trust into a listed BTC ETF, might receive its decision after the initial approval of another applicant. He mentioned, “There might be a unique aspect to their case.”

Regarding Better Markets’ letter dated Jan. 5, which labeled the approval of ETFs as a “historic mistake,” Balchunas described it as the “final outcry of a disgruntled crypto critic.”

Over the last decade, the SEC has consistently rejected a spot BTC ETF, expressing worries about potential market manipulation. Nonetheless, Bloomberg’s James Seyffart suggests that the regulator seems to be in a position where it has limited options.

* We hope this information will help you in your investment process, but this is not investment advice. Every investment carries risk, especially in this industry, so DYOR before making a decision.