Bitcoin Forum

New Bitcoin ETF Effort Launched by Money Management Firm

A US-based money manager wants to launch an exchange-traded fund (ETF) tied to the price of bitcoin.

VanEck, which is headquartered in New York, is seeking to create the "VanEck Vectors Bitcoin Strategy ETF". The goal, SEC filings reveal, is to have the ETF listed on the Nasdaq exchange.

According to a preliminary prospectus published on August 11, the fund won't directly invest in bitcoin as is case with other ETFs tied to the cryptocurrency. Rather, it will purchase stakes in derivatives and financial products that offer exposure to bitcoin market developments.

https://www.coindesk.com/new-bitcoin-etf-effort-launched-money-management-firm/

Many people are hoping that finally SEC would accede and approve this filing as this can be a very good investment vehicle for those who are interested with Bitcoin but does not want to be holding Bitcoin directly. I am not really familiar so much with this whole thing but I am getting interested on how ETF can works.

Perhaps that the completed legalization of Bitcoin by a few countries will give the SEC more to think about, but I honestly don't add many chances to an approval. I am still waiting to know how things are progressing with the Winklevoss ETF review - since that announcement, no further information has been released. The SolidX ETF even had an insurance policy tied to the fund holdings worth up to $125 million, but even that wasn't enough to satisfy the SEC. That being said, I don't take the SEC serious at all. They are talking about them willing to protect investors due to Bitcoin's unregulated nature, but where was the SEC with all other failed ETF's that ended up costing investors millions and millions? ::)

I completely forgot about this till you pointed it out just now. I personally think it's a good sign that they haven't been pushing out any statements. If they wanted to reject it for the second time, they would likely have done so already. I think an important aspect of this 'delay' might be scaling related. They might be waiting for things to settle in order to come up with a yes or a no. Obviously, this is just speculation -- only the SEC knows what's happening, but it has taken long enough already....

I also forgot about the second application of the twins. Never heard anything lately about result of the review. I don't know if this is a good sign that they are really taking matter seriously and 'might' approve it sooner. Perhaps they are considering a lot of factors now, since bitcoin has far reaching effect as countries like Japan has legalized it. They have to consider that bitcoin has a full backing of a country, and not just any country, but one of the most advanced and global powers. But I don't know if you guys think that we still need it though? Cash in pouring in the market, and I think that investors are putting a lot of risk here with no protection from SEC.