Exchange-traded funds (ETF) for Bitcoin are among the most talked about topics of October and November.
As you know, the US Securities and Exchange Commission (SEC) did not approve of spot ETFs that provide direct exposure to Bitcoin.
Will the SEC step back from this decision in 2021? Unfortunately, the investors who were waiting could not get what they wanted. The SEC once again ruled that Bitcoin Spot ETFs would not be legal on various grounds and rejected VanEck’s application.
However, ETFs for Bitcoin futures still continue to be traded on US exchanges.
Recently approved by the SEC, the VanEck Bitcoin Strategy ETF will begin trading on the CBOE BZX exchange on November 16.
This ETF is the 3rd ETF not contested from being listed by the SEC.
ProShares’s ETF was listed first and received a lot of attention. Later, Valkyrie’s product was launched. Finally, VanEck’s Bitcoin Strategy ETF will begin trading on US exchanges.
As the SEC has yet to approve Bitcoin-based Spot ETFs, these futures-based Bitcoin ETFs appear to be the most reliable way for US institutional investors to gain exposure to the cryptocurrency markets.
*Not Investment Advice.