Bloomberg’s ETF experts believe the SEC could approve BTC futures ETF as early as October this year2 min read
Bloomberg analysts believe that starting in October this year, we could look forward to the launch of the BTC futures ETF, because there is a great possibility that they will be approved by the US Securities and Exchange Commission (SEC).
The SEC could approve BTC futures ETF by October
Last week, investment firms VanEck and ProShares withdrew their applications to the SEC for ETH futures ETF approval just two days after they were filed. According to Eric Balchunas, Bloomberg’s chief ETF analyst for Bloomberg, such a sudden withdrawal was probably the result of a low chance of obtaining approval. Eric Balchunas believes that the SEC spoke to both companies and let them know that it is unlikely that they would approve ETH futures ETF.
Meanwhile, another ETF analyst, James Seyffart, believes the withdrawal is a good sign for ETF BTC futures. The expert said that the SEC is likely to approve ETFs for BTC futures and this could come as early as October. The BTC futures ETF that is most likely to be approved is the ProShares ETF. Once approved, it will launch in approximately 75 days.
So far this year, more than a dozen participants in the sector have submitted applications to launch the BTC ETF.
After SEC chairman Gary Gensler said regulators could be more open to BTC ETFs if they focus on futures rather than cryptocurrency itself, many fund managers rushed to apply for BTC ETF futures. This year, at least 19 issuers said they were trying to launch any crypto ETF. About 12 of them focus on BTC.
One of the first applicants for the BTC ETF was VanEck. His first attempt, VanEck SolidX BTC Trust, came in 2018. However, this application was downloaded in September 2019. In December 2020, VanEck made a second attempt to obtain a BTC ETF and applied for the VanEck BTC Trust.
Valkyrie Investments is also in the queue for approval of the BTC ETF from the SEC. The asset manager submitted an application in January 2021.
Other applicants include the New York Digital Investment Group and the consulting firm Stone Ridge, WisdomTree, the hedge fund SkyBridge Capital, Fidelity Investments, Kryptoin, Galaxy Digital, Ark Invest, Grayscale, One River and others.
All applicants compete in the race, because the first person to get approval will make a point in history. BTC ETFs have been approved in Canada, Brazil and Dubai. To date, the SEC has rejected any request for a BTC ETF, citing the potential for market manipulation among cryptocurrency traders.