ARK Invest Files Another Revised Proposal for Spot Bitcoin ETF Launch
Summary:
ARK Investment Management is steadfastly pursuing the launch of a spot Bitcoin exchange-traded fund (ETF) in the U.S., having recently filed another revision to its proposal with 21Shares. This signals the third amendment to the Bitcoin ETF prospectus originally filed in April 2023. The planned ETF, named the ARK 21Shares Bitcoin ETF, pending approval, will trade on the BZX Exchange operated by the CBOE. The SEC has delayed its decision on ARK's application, currently set for January 11, 2024. Despite these concerted efforts by ARK, some spot Bitcoin ETF applicants have not yet amended their applications.
Leading cryptocurrency investment house ARK Investment Management, established by Bitcoin enthusiast Cathie Wood, is persistently forging ahead with plans to initiate a spot Bitcoin exchange-traded fund (ETF) in the United States. On November 20, ARK Invest put forward another revised proposal for its spot Bitcoin ETF service created in partnership with European digital asset overseer 21Shares. Assuming approval, the Bitcoin ETF by ARK and 21Shares, labelled the ARK 21Shares Bitcoin ETF, will be available for trade on the BZX Exchange managed by the Chicago Board Options Exchange (CBOE), the refreshed filing indicates. This is the third occasion that ARK and 21Shares have amended the Bitcoin ETF proposal, having initially applied for a spot Bitcoin ETF in April 2023. ARK amended the form S-1 registration submission for its spot Bitcoin ETF in October, an action that specialists considered indicative of positive development. In September 2023, the SEC postponed its anticipated verdict on ARK's spot Bitcoin ETF proposal. The new deadline for the SEC's decision has been scheduled for January 11, 2024. Eric Balchunas, Bloomberg ETF analyst, stated that the recent proposal includes numerous updates, among them a variety of risk disclosures aiming to meet corporate finance prerequisites. He highlighted an interesting factor - ARK's commitment to in-kind creations redemptions, albeit in a hybrid model, to reduce tax and spread challenges. This came as somewhat of a surprise, but a pleasant one, the ETF specialist added, noting that frequent updates to these documents indicate progress towards SEC approval. James Seyffart, Bloomberg ETF commentator, also suggests that the recent filing implies progress in the dialogue with the SEC. Despite ARK's regular amendments to its S-1 spot Bitcoin ETF proposal, a handful of spot Bitcoin ETF applicants have yet to review their submissions. Based on Seyffart's mid-November data, from the twelve spot Bitcoin ETF applicants, Franklin Templeton and Global X have not reviewed their S-1 submissions.
Published At
11/20/2023 3:03:43 PM
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