Investment giant Fidelity Investments is preparing to apply for a spot Bitcoin ETF. This is reported by the source The Block.
The company made its first attempt to create an exchange-traded fund in 2021. However, in early 2022, the US Securities and Exchange Commission (SEC) denied the request, citing a lack of joint oversight agreements and a failure to stop fraudulent or manipulative practices.
According to website Fidelity has over $11 trillion in assets under management.
The firm has joined the ETF race along with Valkyrie, BlackRock, WisdomTree and Invesco.
To date, the SEC has rejected almost all applications for ETFs, with the exception of ProShares and Valkyrie Investments, which are based on the Chicago Mercantile Exchange bitcoin futures. Grayscale sued the regulator after a negative response.
Earlier, ARK Invest analyst Yassin Elmanjra said that BlackRock’s application for an exchange-traded Bitcoin fund could be “a turning point in digital gold’s journey to institutional recognition.”
The Wall Street Journal has accused SEC Chairman Gary Gensler of a “confusing” approach to adopting a spot ETF based on the first cryptocurrency.
Circle CEO Jeremy Allaire predicted that the recent spate of applications to launch cryptocurrency exchange-traded funds will eventually lead to regulatory approval.
Source: Cryptocurrency
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