Swiss fintech company 21Shares and ARK Investment Management, the firm headed by famous investor Cathie Wood, have announced plans to try again for a spot Bitcoin exchange-trade fund (ETF) in the US with the filing of the ARK 21Shares Bitcoin ETF.
Three Strikes and They’re Still Trying: 21Shares Refiles for Spot Bitcoin ETF in Partnership with Cathie Wood’s ARK
Current seekers of SEC approval, it appears that 21Shares and ARK Investment Management detected life in their stagnant efforts to receive SEC approval of their joint spot Bitcoin exchange-trade fund (ETF) and are reviving that attempt with a new exchange-traded fund in the US cryptocurrency market.
21Shares (which offers amazing low 1.49% p.a. ETP/ETF rates on cryptos for Swiss residents by the way) says it believes continuing the tough fighting for SEC approval “will eventually pay off and the winners will be American investors.”
Third Time’s the Charm?
SEC had rejected two earlier filings of the 21Shares/ARK and spot-Bitcoin ETFs, making this an especially uphill journey. The earlier ETF filings were rejected in 2021 and again in May 2022.
Despite concern and risk from crypto adversaries, attempts at launching investment products tied to Bitcoin and crypto price fluctuations has pressed forward.
This new Bitcoin ETF will act as a tracker of price based on the S&P Bitcoin Index.
By launch time, the Bitcoin dreams of ARK, 21Shares, and investors alike could either be nothing but a lost cause or an unprecedented opportunity for “safe, regulated investment products that provide exposure to core crypto assets.”
ABA Journal previously noted the SEC’s concern with the volatility and illiquid nature of the cryptocurrencies creating a skewed and unstable premise had halted consideration of such proposals.
Non-traditional crypto-related ETFs registered an estimated two-billion-plus for our beloved brethren north of the American border to the rocky shores of the Hawaian Island conglomerate.
[h/t Josh O’Sullivan]