Regarding the issue of accepting spot ETFs: SEC Commissioner affirms it's time to stop denying crypto spot ETFs
Even the SEC itself cannot explain why they keep rejecting all spot ETF applications. It suggests that the containment of the release of such products is artificial and is clearly being prepared for a certain market trend. It makes little sense to launch such anticipated bitcoin products in 2022, as the market will not properly respond to these products.
My opinion remains unchanged, spot ETFs will not launch until the next bull cycle, sometime in 2024-2025.
Topic: List of ETF filings this year in the US(NEW ETF ADDED) (Read 767 times)
Recently, 2 more spot bitcoin ETFs were rejected by the SEC:
- NYSE Arca: https://www.sec.gov/rules/sro/nysearca/2022/34-94395.pdf
- Cboe BZX Exchange: https://www.sec.gov/rules/sro/cboebzx/2022/34-94396.pdf
Clearly, the adoption of a spot bitcoin ETF is not an immediate event, and those who thought that there would be approval at the beginning of the year were, to put it mildly, optimistic in their forecasts.
- NYSE Arca: https://www.sec.gov/rules/sro/nysearca/2022/34-94395.pdf
- Cboe BZX Exchange: https://www.sec.gov/rules/sro/cboebzx/2022/34-94396.pdf
Quote
The Commission concluded that [NYSE Arca and BZX] failed to fulfill [their] obligations under the U.S. Exchange Act and SEC rules to demonstrate that [their] offerings [comply] with the requirements of Section 6 (b) of the U.S. Exchange Act. In particular, the requirement that stock exchanges are obliged to prevent fraudulent actions and market manipulation to protect investors and public interests has not been fulfilled.
Clearly, the adoption of a spot bitcoin ETF is not an immediate event, and those who thought that there would be approval at the beginning of the year were, to put it mildly, optimistic in their forecasts.
The SEC has approved another Valkyrie ETF, the Valkyrie Bitcoin Miners ETF. The Nasdaq launch will be under the ticker WGMI.
Document here: https://www.sec.gov/Archives/edgar/data/1877493/000135445722000106/WGMI_8-ACert.pdf
The application for this ETF was submitted relatively recently and has already been approved: https://www.sec.gov/Archives/edgar/data/0001877493/000138713122000693/vbm-485bpos_012122.htm#vbm485apos110321a001
Document here: https://www.sec.gov/Archives/edgar/data/1877493/000135445722000106/WGMI_8-ACert.pdf
The application for this ETF was submitted relatively recently and has already been approved: https://www.sec.gov/Archives/edgar/data/0001877493/000138713122000693/vbm-485bpos_012122.htm#vbm485apos110321a001
Another application for a bitcoin ETF was rejected. Fidelity applied for the Fidelity`s Wise Origin Bitcoin Trust spot ETF and was rejected by the SEC.
https://www.sec.gov/rules/sro/cboebzx/2022/34-94080.pdf
It is unlikely that spot BTC ETF will be approved this year, although I have heard opinions that it could be approved as early as the beginning of 2022. And besides, approvals of such magnitude that can greatly increase market volatility are unlikely to be released during a market lull in terms of market making.
https://www.sec.gov/rules/sro/cboebzx/2022/34-94080.pdf
It is unlikely that spot BTC ETF will be approved this year, although I have heard opinions that it could be approved as early as the beginning of 2022. And besides, approvals of such magnitude that can greatly increase market volatility are unlikely to be released during a market lull in terms of market making.
SEC Rejects VanEck’s Spot Bitcoin ETF Proposal as predicted on my previous post since Spot ETF is a direct interaction to Bitcoin which is very crucial due to its volatility that will reflect on the consumer safety on buying this ETF. SEC Chair also imposed his preference for futures ETF instead of spot. In conclusion we still need more years for this long waited approval. I hope this will not gonna impact much on the current price of Bitcoin.
Well, it was certainly expected. I don’t know where there was such a positive attitude in the community about the fact that the spot ETF will be adopted early next year, and besides, there is a possibility that 2022 will be bearish. In my opinion, the spot ETF is, at best, a matter of the next bull run, which will take place after the next cycle of the crypto winter, and then the subsequent recovery and accumulation.
There are even opinions that the spot ETF will never be accepted, but I personally do not consider such categoricality at all.
Regarding the issue of accepting spot ETFs: SEC Commissioner affirms it's time to stop denying crypto spot ETFs
Even the SEC itself cannot explain why they keep rejecting all spot ETF applications. It suggests that the containment of the release of such products is artificial and is clearly being prepared for a certain market trend. It makes little sense to launch such anticipated bitcoin products in 2022, as the market will not properly respond to these products.
My opinion remains unchanged, spot ETFs will not launch until the next bull cycle, sometime in 2024-2025.
Even the SEC itself cannot explain why they keep rejecting all spot ETF applications. It suggests that the containment of the release of such products is artificial and is clearly being prepared for a certain market trend. It makes little sense to launch such anticipated bitcoin products in 2022, as the market will not properly respond to these products.
My opinion remains unchanged, spot ETFs will not launch until the next bull cycle, sometime in 2024-2025.
they can explain.. but they dont want to reveal the secret.. so i shall
they want their wall street buddy institutions to be the 'first mover' and first ETF offering. thus they have initial monopoly and can set the trends and the direction all other ETF services after them have to follow. they dont want small unknown business becoming the defacto #1.
..
to explain.
to offer it to a small business means small licence fee income. and small commissions on audit inspections.. however if a large institution started they can get large licence fees and charge more for audits and inspections. also it sets precedent's for the calibre or level all next issuers should follow.
having a large institution start the ball rolling brings instant utility and offering to many many customers meaning the markets do respond.
EG take the australian markets which some small unknown company offers something that resembles an ETF.. yet hardly anyone uses the australian markets so no one cares..
without you googling it. i bet you couldnt from memory tell me much about the australian example i hint at.. because no one cares to research/invest in it..
however a large institution on the US main big market. is a whole different story
The SEC approved an application to launch a bitcoin futures ETF from Teucrium Trading (Teucrium filed an application to launch a bitcoin futures ETF in May 2021), listing of the financial instrument is planned on NYSE Arca.
https://www.sec.gov/rules/sro/nysearca/2022/34-94620.pdf
https://www.sec.gov/rules/sro/nysearca/2022/34-94620.pdf
I think these decisions are in line with the expectations of those who are realistic about the physically-based BTC ETF. This is simply something we will have to wait a little longer for, because the SEC will simply not allow itself to approve such an instrument until they are 100% sure that they will be able to implement all possible mechanisms to prevent market manipulation.
Although I don't know if such a thing is possible at all, because who can prevent the volatility that has become one of the trademarks associated with Bitcoin. If I had to bet on a date, then I would say that Q4 2024 is the ideal period for approval - halving + ETF = big bang
Although I don't know if such a thing is possible at all, because who can prevent the volatility that has become one of the trademarks associated with Bitcoin. If I had to bet on a date, then I would say that Q4 2024 is the ideal period for approval - halving + ETF = big bang
The SEC postponed a decision on the applications of two spot bitcoin ETFs from WisdomTree and One River on April 4 and June 2, respectively, as it "considers it appropriate to appoint a longer period for taking action on the proposed rule hange".
decision on the WisdomTree application: https://www.sec.gov/rules/sro/cboebzx/2022/34-94476.pdf
decision on the One River application: https://www.sec.gov/rules/sro/nysearca/2022/34-94475.pdf
decision on the WisdomTree application: https://www.sec.gov/rules/sro/cboebzx/2022/34-94476.pdf
decision on the One River application: https://www.sec.gov/rules/sro/nysearca/2022/34-94475.pdf
It seems that the metaverse has reached the ETF and an application has been submitted to the SEC from ProShares to launch the ProShares Metaverse Theme ETF, which includes companies providing or using technologies related to their products and services with metaverses, such as Apple, Meta Platforms and Nvidia.
https://www.bloomberg.com/news/articles/2021-12-28/metaverse-etf-appetite-continues-as-proshares-files-application
https://www.sec.gov/Archives/edgar/data/1174610/000168386321007439/f10626d1.htm
https://www.bloomberg.com/news/articles/2021-12-28/metaverse-etf-appetite-continues-as-proshares-files-application
https://www.sec.gov/Archives/edgar/data/1174610/000168386321007439/f10626d1.htm
The SEC rejected WisdomTree's application to create a spot Bitcoin ETF, saying in a letter that it did not meet criteria “designed to prevent fraudulent and manipulative actions and practices” and “to protect investors and the public interest”. https://www.sec.gov/rules/sro/cboebzx/2021/34-93700.pdf
source: https://decrypt.co/87477/sec-wisdomtree-application-bitcoin-etf-rejection
source: https://decrypt.co/87477/sec-wisdomtree-application-bitcoin-etf-rejection
In my opinion, the spot ETF is, at best, a matter of the next bull run, which will take place after the next cycle of the crypto winter, and then the subsequent recovery and accumulation.
I don’t think we’ll have to wait for such an ETF until the end of 2024 or even 2025, it’s too long considering how much interest there is from quite powerful companies lobbying for it to happen as soon as possible. The fact is that such ETFs have been approved in some other countries (Canada), and that the SEC is certainly following what is happening there - and I am sure it will not delay its decision for years.
There are even opinions that the spot ETF will never be accepted, but I personally do not consider such categoricality at all.
There are various stupid opinions when it comes to Bitcoin, and I know it is very stupid to use the word “never” in the same sentence with Bitcoin - scientifically proven from 2009 until today
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SEC Rejects VanEck’s Spot Bitcoin ETF Proposal as predicted on my previous post since Spot ETF is a direct interaction to Bitcoin which is very crucial due to its volatility that will reflect on the consumer safety on buying this ETF. SEC Chair also imposed his preference for futures ETF instead of spot. In conclusion we still need more years for this long waited approval. I hope this will not gonna impact much on the current price of Bitcoin.
There's some bad news too that Bakkt shares loss value after there release of there third quarter loss report. One hell of ride again if this becomes a series of FUD.
There's some bad news too that Bakkt shares loss value after there release of there third quarter loss report. One hell of ride again if this becomes a series of FUD.
An interesting move is whether this will somehow help the faster adoption of the Bitcoin ETF, since the Congress of America itself is asking for it.
It certainly can't hurt that 2 US congressmen are pushing for the approval of a physically-backed BTC ETF, but these are just two of the 535 votes in the US Congress - and believe me, there are those who are against Bitcoin and cryptocurrencies in general. As for these two congressmen, they both come from federal states that are quite friendly towards Bitcoin (Minnesota & Florida), so their attitude is somewhat expected.
A related change move with a reaction would be ETF GrayScale, 19b-4 still in the spotlight. And December 24 will probably be the stop at a Christmas day this year. If I ignore the divergence factors, this is the period that will be strongest with the change in bitcoin value. 
https://twitter.com/EtfHearsay/status/1456009527963312130
https://twitter.com/EtfHearsay/status/1456009527963312130
I wonder if there will be more ETF approvals this year? At least derivative ones, because it is clear that we will not see the spot ETF soon.
I think the number of futures-based ETFs is something that will not make a significant difference in the crypto market, so their number may only be important because of competitiveness (lower fees). However, according to what can be read in the US media, a physically-based ETF could become a reality next year, maybe even in the first half of next year.
Now the only question is, will such an ETF really have an effect that will cause the price of BTC to skyrocket, or have our expectations been exaggerated all these years?
If they are really going to buy and hold then it will cause the price to rise. Skyrocket? Probably not since we are already at $60K+BTC / $1Trillion dollar market cap. So more of a long slow climb. But, I really think if it happens we could see a lot of investors who wanted to get into BTC but not "buy" any invest here.
Just my view.
-Dave
I wonder if there will be more ETF approvals this year? At least derivative ones, because it is clear that we will not see the spot ETF soon.
I think the number of futures-based ETFs is something that will not make a significant difference in the crypto market, so their number may only be important because of competitiveness (lower fees). However, according to what can be read in the US media, a physically-based ETF could become a reality next year, maybe even in the first half of next year.
Now the only question is, will such an ETF really have an effect that will cause the price of BTC to skyrocket, or have our expectations been exaggerated all these years?
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News came out on Twitter yesterday that the SEC had rejected an application for a leveraged futures ETF from Valkyrie Investments.
SEC Won’t Approve Leveraged Bitcoin Fund
https://www.sec.gov/Archives/edgar/data/0001877493/000183988221015489/valkbtfx-485apos_102621.htm
SEC Won’t Approve Leveraged Bitcoin Fund
https://www.sec.gov/Archives/edgar/data/0001877493/000183988221015489/valkbtfx-485apos_102621.htm
Well SEC seems not really prepared for this, They just want to approved some of the ETF to have a trial and observe the effect out of it. Bitcoin price moves up and down with a huge spread, I think this volatility cause by the ETF makes the SEC rethink and evaluate first on what will be the effect in the future if they still proceed on widening the acceptance of Bitcoin ETF. Me myself is actually not happy on the result. Whales is playing the market and enjoying the benefits of pump and dump due to speculation and manipulative media just to control retail tradrers decision on holding Bitcoin. Seeing Bitcoin trading below it's ATH for a week makes me scared that something big correction is inevitable since ETF hype was already and we can't expect more this year base on this recent rejection.
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The opinion began to circulate on the network that this year the SEC will not approve the spot-based bitcoin ET :
It is possible that it is for this reason that Bitcoin reacted today with a fall to $58 000. In general, I have a strong feeling that ETFs were adopted this year solely for BTC price manipulation.
It is possible that it is for this reason that Bitcoin reacted today with a fall to $58 000. In general, I have a strong feeling that ETFs were adopted this year solely for BTC price manipulation.
Probably since physically backed is far different from futures ETF, Futures ETF has a lot of downside for passive investor due to time limit involved on contracts. Not all investors don't want a complex trading with expiration of contract and insane fee. I would rather used exchange like Coinbase Pro than purchasing a very expensive futures ETF which really don't give ownership to real Bitcoin.
SEC is still undecided about the fate of physically backed bittcoin due to a lot of fraud and volatility happening on crypto space. It might backfire to them once somethings terrible happened to crypto and lots of investors loss funds on purchasing ETF. I think next year is the closest date for these ETF.
I read this on bybit newsletter, I think this is the reason.
Quote
51k contracts with a notional value of more than $3.2 billion are set to expire in the options market this Friday, Oct. 29. With the max pain price near $54k, a surge in volatility is to be expected as the expiry date draws near. As it stands, nearly 45% of calls and 7% of puts are still in the money, and with the current put-call ratio sitting at around 0.66, there is likely to be a bullish trend moving forward.
Competition is always good for every user, because a number of the same services on the market must compete to gain as many customers as possible, and they can only do so if they offer lower prices. I was quite surprised when I read how unfavorable this futures-based ETF actually is - and that may explain why the price of BTC drop after the media successfully sold the news and a new ATH was reached.
I guess people have very negative connotations when it comes to futures trading, obviously they remember the end of 2017 and CME futures.
I guess people have very negative connotations when it comes to futures trading, obviously they remember the end of 2017 and CME futures.
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