Valkyrie becomes latest firm to file for Bitcoin futures ETF
Valkyrie Digital Assets is the latest institution to submit an application with the Securities and Exchange Commission (SEC) for approval to launch a Bitcoin exchange-traded fund (ETF).
The alternative financial services firm is seeking to offer an indirect exposure of Bitcoin to its customers through futures contracts.
In a prospectus drafted to the SEC on Wednesday, the firm made known its intention to use exchanges registered with the U.S. Commodity Futures Trading Commission to buy Bitcoin futures contracts. Purchases will be made by a Cayman Island-based subsidiary wholly owned by the fund. Valkyrie also noted that the ETF will be “as close to 100% of the net assets of the fund as possible.”
Valkyrie filed for a spot Bitcoin ETF under the Securities Act (1933) a few months ago. The new filing comes a week after SEC chairman Gary Gensler expressed interest in approving ETFs exposed to BTC futures contracts under the Investment Company Act of 1940.
The filing makes Valkyrie the fourth asset manager to apply for a BTC ETF approval under the 1940 Company Act since Gensler’s speech, with ProShares, Invesco, and VanEckalready on board.
This is the 4th bitcoin futures ETF filed under the crucial (for Gensler) 1940 Act, joins Proshares, VanEck and Invesco. It's poss these are approved as early as Nov this year but I've had football pulled away too many times to say it's definite.
— Eric Balchunas (@EricBalchunas) August 11, 2021
If the tweet is anything to go by, the asset managers will hopefully get a nod from the SEC as soon as November.
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