Asset management firm, VanEck, has revised its application for a spot Bitcoin exchange-traded fund (ETF) with the United States Securities and Exchange Commission (SEC).
The application was updated on Oct. 27, as confirmed by the SEC’s database. The revised application details that a seed capital investor purchased Seed Creation Baskets, a block of 50,000 shares of the proposed ETF, with Bitcoin prices determined by the MarketVector Bitcoin Benchmark Rate.
The update indicates that the fund seeding would be carried out with Bitcoin, a departure from other spot Bitcoin ETF proposals which involve seeding in cash. This information was confirmed by finance lawyer Scott Johnsson.
A spot Bitcoin ETF directly invests in Bitcoin, offering an alternative to existing ETFs that invest in Bitcoin futures. The spot version of the product is expected to attract substantial investments from investors looking for Bitcoin exposure through traditional asset managers.
Other asset managers, including Bitwise Asset Management, ARK Invest and 21Shares, have also updated their applications for a spot Bitcoin ETF in the past few months. The wave of revised applications suggests progressing negotiations between asset managers and regulators.
The SEC has yet to make a decision on several proposals for spot Bitcoin ETFs in the country, including those from BlackRock, Invesco, Bitwise, VanEck and Valkyrie. Analysts anticipate a decision in the coming weeks.
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