BlackRock’s iShares Bitcoin Trust has been listed on the Depository Trust and Clearing Corporation (DTCC), however, analysts expect all approvals to happen at once.
As the crypto community prepares for the arrival of the first-ever Bitcoin ETF in the coming months, analysts are sharing interesting predictions ahead. Crypto ETF expert Stuart Barton, chief investment officer of Volatility Shares, estimates that all spot Bitcoin exchange-traded fund (ETF) applications will be submitted to the US Securities and Exchange Commission.seconds) can be approved together.
Notably, Barton’s company, Volatility Shares, hit a significant milestone in June by launching the first leveraged crypto ETF in the US, the 2x Bitcoin Strategy ETF (BITX). Additionally, Volatility Shares was the first to file for an Ether (ETH) futures-based ETF. Despite the lack of SEC approval for prior applicants in this area, other companies followed Volatility Shares in pursuing an Ether Futures ETF.
But despite SEC approval, Barton’s team did not move forward with launching an Ether ETF. In an interview with CoinDesk, he Said,
“We had applied earlier but when all the applications were approved at once we did not get the first mover advantage. This is a precedent-setting event that could be replicated by the SEC in its consideration of spot-Bitcoin ETFs.
Noting the sluggish start for the Ether ETF, with initial trading volume of less than $2 million and continued poor liquidity in the following days, Barton and his team are considering possible changes to their product.
We have the flexibility to launch our own product at any time, but currently, we are taking the opportunity to understand the reasons behind the relatively low popularity of Ether ETFs. Barton said it’s surprising why these ETFs for ether are much less popular than those for bitcoin, which made a billion dollars in two days of launch.
The rush for spot bitcoin ETFs
Bloomberg Intelligence analyst and Cathie Wood of ARK Investment Management shares Barton’s view that all applications for a spot Bitcoin ETF could be approved simultaneously. Barton’s insights are informed not only by his experience with Ether ETF applications, but also by his belief that approving all Ether ETFs at once would pass the public litmus test without facing legal challenges from the SEC. It was a strategic move. He expects a similar approach for spot Bitcoin ETFs.
The latest news coincides with the listing of BlackRock’s iShares Bitcoin Trust on the Depository Trust and Clearing Corporation (DTCC). Additionally, the asset management giant intends to offer initial investments for its iShares Bitcoin ETF by the end of this month. These moves collectively signal significant progress toward the eventual listing of the first US spot Bitcoin ETF in the coming months.
iShares Bitcoin Trust is listed on the DTCC (Depository Trust and Clearing Corporation, which clears NASDAQ trades). and the ticker will be $ibtc, All part of the process of bringing an ETF to market again.. H/T @martypartymusic pic.twitter.com/8PQP3h2yW0
– Eric Balchanas (@EricBalchanas) 23 October 2023
Bitcoin’s surge beyond a critical resistance level has resulted in bearish traders losing over $178 million within the last 24 hours. Of the $400 million worth of cryptocurrency liquidations on Monday, futures tied to Bitcoin represented about 50%. While Ether futures were associated with only $50 million of liquidations from both long and short positions.
Bhushan is a fintech enthusiast and has a good grasp of understanding the financial markets. His interest in economics and finance drew his attention to the newly emerging blockchain technology and cryptocurrency markets. He is in a constant process of learning and keeps himself motivated by sharing his acquired knowledge. In his spare time he reads adventure fantasy novels and occasionally explores his culinary skills.
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