Set deadline for ETF application form
The U.S. Securities and Exchange Commission (SEC) has issued a warning to companies applying for spot ETFs for the crypto asset (virtual currency) Bitcoin (BTC), saying, “If you do not submit the final version of your application by the 29th of this month, your application will be closed in early January.” It is understood that he said, “I do not approve of it.” This was reported by overseas media.
The SEC reportedly communicated this deadline to representatives of at least seven filing companies on the 21st, including BlackRock, Grayscale, and Ark. Many believe that multiple Bitcoin spot ETFs will be approved at the same time in January 2024, due to the deadline for the final decision on whether to approve or disapprove the Ark ETF on the 10th of next month and to ensure fairness.
What is an ETF?
Abbreviation for “Exchange Traded Fund.” Refers to investment trusts listed on financial instruments exchanges, where a wide range of financial products, not just virtual currencies, are traded.
▶️Virtual currency glossary
Fox Business reported on the 22nd that the 29th deadline was set. Later, “Reuters” reported the same content on the same day, based on related documents and stories from people involved.
Reuters spoke directly with executives from two of the filing companies who spoke with the SEC. The executive reportedly said, “The SEC explained that if the submission deadline on the 29th passes, it will not be included in the first group to be approved in January.”
Based on the SEC’s explanation, the executive said, “the SEC has indicated that there is a possibility of approving a Bitcoin spot ETF in early January.”
Learn about Bitcoin ETFs from the beginning: Explaining the advantages and disadvantages of investing and how to buy US stocks
Bloomberg analyst James Seyffart reported on the 23rd that BlackRock has submitted a revised application for a Bitcoin spot ETF.
— James Seyffart (@JSeyff) December 22, 2023
The revised version states that BlackRock plans to pre-sell the Bitcoin spot ETF on January 3rd. “This does not mean an ETF launch, but I think BlackRock expects to be able to launch an ETF soon after the 3rd,” Seyffart said.
It was previously revealed that BlackRock raised funds for an ETF called Seed in October. By this time, he had raised $100,000 by selling 4,000 units at $25 each.
connection: BlackRock raises $100,000 in seed funding through Bitcoin ETF application
According to the current application, the ETFs sold at this time are scheduled to be redeemed for cash on the 3rd. Investors at that time said they would buy 400,000 units at $25 each on the 3rd, with BlackRock planning to raise $10 million (approximately 1.4 billion yen).