Asset Managers Update S-1 Forms; Hashdex's Bitcoin ETF Move Draws Attention
Summary:
Several asset managers revised their S-1 forms on January 8 in a bid to secure approval for launching a spot Bitcoin exchange-traded fund in the U.S. Among these, cryptocurrency asset management firm Hashdex did not issue an amended form, leading to speculation about its Bitcoin investment vehicle. Hashdex's application to convert an existing crypto futures ETF into a Bitcoin ETF appears unique in the sector. The absence of an updated S-1 form by Hashdex might suggest a delay in its product approval. However, it's unlikely to alter the reasons for approval or rejection by the SEC.
In an attempt to secure approval for launching a spot Bitcoin (BTC) exchange-traded fund on US exchanges, several asset managers submitted amendments to their S-1 forms on January 8. However, it was observed that Hashdex, a cryptocurrency asset management firm, was not among those who issued an amended form during the early morning filings. This included leading asset managers such as BlackRock, Invesco, Valkyrie, VanEck, WisdomTree, 21Shares, ARK Invest, Grayscale and Galaxy, who lodged their revised S-1 forms with the U.S. Securities and Exchange Commission (SEC) on Jan. 8, indicating a significant step towards the possible endorsement of a spot BTC ETF. Hashdex, though did file a 19b-4 amendment form with other companies on Jan. 5, was conspicuously absent in the filing round of Jan. 8, stirring speculation about their spot Bitcoin investment vehicle.
Bloomberg ETF analyst Jeff Seyffart observed on a January 8 X (formerly Twitter) post that Hashdex's Bitcoin ETF request was unique compared to other firms, as it was intending to convert an existing crypto futures ETF. In August, Hashdex presented its proposal to the SEC for a Bitcoin futures investment product that could potentially include spot Bitcoin.
While there is no update from Hashdex, it is interesting to note they are unique just because theirs is the only product already functioning as an ETF. However, I won't presumptuously judge just yet. — James Seyffart (@JSeyff) January 8, 2024
As of publication time, while no asset manager has assured approval for a spot Bitcoin ETF, experts have suggested that the recent SEC filings, and past legal actions might be positive indicators towards SEC greenlighting the investment product for the first time. In a significant development in October, a judge instructed the SEC to reconsider Grayscale Investments' application for a spot Bitcoin ETF, after deeming its prior refusal as "arbitrary and capricious".
Even though Hashdex not submitting an updated S-1 form may seemingly indicate a delay in its Bitcoin ETF should the SEC proceed with multiple authorizations this week, it is unlikely to affect the reasons for approving or rejecting the ETF. Following a similar advertisement from Bitwise, Hashdex initiated a promotional campaign advocating for Bitcoin on December 28.
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Published At
1/9/2024 12:30:00 AM
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