VanEck Pledges Donation of Bitcoin ETF Profits to Core Developers Amid SEC Waiting Period
Summary:
Asset management firm VanEck has pledged to donate 5% of profits from its potentially approved Bitcoin exchange-traded fund to Bitcoin core developers via the nonprofit Brink. The firm, currently awaiting a decision from the U.S. Securities and Exchange Commission on its spot BTC ETF, has already donated $10,000 to the developers. The announcement follows VanEck's previous commitment to give 10% of its Ether futures ETF profits to Ethereum's core developers for ten years.
VanEck, a prominent asset management firm that has a pending application with the United States Securities and Exchange Commission for a Bitcoin (BTC) exchange-traded fund, has revealed their commitment to support Bitcoin's core developers, should their application be approved. They announced this pledge via a Jan 5 post on X (formerly known as Twitter), stating that they would land a 5% donation of their profits to Brink, a non-profit organization aiding BTC developers. Regardless of the SEC's approval, VanEck has already made an initial contribution of $10,000.
As it stands, the SEC hasn't approved any spot BTC exchange-traded fund listing on U.S exchanges. But a potential decision could come before a Jan. 10 deadline, concerning an application lodged by ARK Invest and 21Shares. On Jan. 4, VanEck initiated proceedings to register its Bitcoin ETF shares as securities on the Cboe BZX Exchange.
Several other firms, including BlackRock, Bitwise, Fidelity, Grayscale Valkyrie, Invesco Galaxy, and WisdomTree, are also awaiting SEC decisions. Interestingly, VanEck commenced a media campaign last December, similar to those done by Bitwise and Hashdex.
In September, VanEck had previously committed to donate 10% of its Ether (ETH) futures ETF profits to Ethereum's core developers for a decade. The SEC has approved cryptocurrency investment vehicles related to BTC and ETH futures. However, the approval of a spot BTC ETF could significantly influence adoption rates.
Published At
1/5/2024 8:53:23 PM
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