Approval of BTC futures ETF in the air? Balchunas is becoming more optimistic

The latest moves by Ark Invest and Valkyrie convince Bloomberg analyst Eric Balchunas that the approval of the first BTC Futures ETFs really hangs in the air.

Bloomberg analyst Eric Balchunas informed the company on Twitter Ark Invest (in collaboration with 21Shares) and Valkyrie proceeded to update their BTC futures ETF applications by assigning them specific ones Ticker – in case Ark ticker „ARKA“And in the case of Valkyrie ticker „BTF„. Although at first sight it is a banality, Balchunas is convinced that this is a sign of expectation that their applications will be approved soon.

People keep asking me what I’m looking for first to confirm SEC approval and it is these type of updated prospectus filings. That’s what happens right bf a launch, they fill in all the XXs and add ticker. That said, this is BTC so WTF knows for sure lol.

– Eric Balchunas (@EricBalchunas) October 13, 2021

Balchunas, who has many years of experience with ETF funds, explained that such updates usually do not occur until the entire fund is ready for early launch. He thinks that both Valkyrie and Ark are about to launch the BTC Futures ETF. However, he added that “in the case of BTC, nothing is ever certain” because the US Securities and Exchange Commission (SEC) has not yet approved any application.

While a Bloomberg analyst has repeatedly suggested that the first applications may receive SEC approval in October, CFRA’s Todd Rosenbluth said this week that the SEC’s verdicts are likely to be postponed until next year.

We will find out who will be right in the end in the coming days, because in the case of a request from ProShares, the SEC must comment no later than Monday, October 18, and in the case of a request from Valkyrie by October 25. As for Ark Invest’s application, the SEC must take a position on it for the first time in a few weeks, because it is a fresh application. However, this does not mean that if he approves other applications, he will not give prior permission for Ark.

The SEC chief is actually a BTC fan

The founder of Volt Equity Tad Park also commented on the topic of BTC ETF. It was his company that received permission from the SEC to the ETF fund a few days ago “Volt BTC Revolution ETF“, Which is tied to the performance of companies that have invested in BTC or do business with it in some way. Thus, it is not a direct BTC ETF, but to some extent the price of BTC affects its performance. For example, about 25% of this ETF is tied to Microstrategy, which owns more than 110,000 BTCs.

Tad Park said in an interview with FOX Business that the SEC chief Gary Gensler he’s actually a BTC fan, but he’s often unfairly misunderstood in the BTC scene. He also advocated Gensler’s drive for clearer regulation of cryptocurrencies and better investor protection.

As for specific BTC ETF applications, Park thinks that thanks to Gensler, they really have a better chance of being approved. However, according to him, many applications do not meet the requirements for permits, because they do not sufficiently address the issue of how BTC will be securely stored for these ETFs. He cited gold and gold ETFs as examples, for which companies must thoroughly explain and demonstrate how they will guard physical gold. According to him, in the case of an application for a BTC ETF, many applicants fail in this matter.