Coinbase has answered the SEC request for comments on the proposed rule change to list the ETH Grayscale Fund as a spot ETF. Coinbase stated that ether was a commodity, and its status has been publicly recognized in a variety of circumstances by U.S. agencies and courts. Coinbase Supports Ethereum Grayscale Fund Conversion as a […]
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Hong Kong has reportedly received its first application for a spot Bitcoin (BTC) exchange-traded fund (ETF) in the city-state.
According to a Jan. 29 Tencent report, Harvest Hong Kong, one of China’s leading fund managers, submitted the first application to the Securities and Futures Commission (SFC) on Jan. 26.
This development is arriving just over a month after Hong Kong’s financial regulators—SFC and the Hong Kong Monetary Authority (HKMA)—revealed their willingness to allow financial institutions to apply for spot ETFs investment products. However, the regulators outlined stringent requirements for the applicants, including strict custodial rules and how the ETF transactions must be conducted through an SFC-licensed crypto platform or authorized financial institutions that comply with HKMA’s regulatory requirements.
Nevertheless, Harvest Hong Kong’s swift application shows the preparedness and interest these products have generated since they were introduced in the U.S. The ETFs would be pivotal in integrating crypto into mainstream finance, and their launch would help capitalize on the region’s burgeoning demand for them.
Meanwhile, the regulatory authorities in Hong Kong are demonstrating a willingness to expedite the approval process for ETF applications. The ETFs could be listed on the Hong Kong Stock Exchange shortly after the Chinese New Year, scheduled for Feb. 10.
This approach is reminiscent of the U.S. Securities and Exchange Commission (SEC), which approved multiple ETF applications from several financial institutions, including BlackRock and Fidelity, after rejecting such products for over a decade.
Only Harvest Hong Kong has applied with the regulator despite several financial institutions’ expressions of interest in such products. CryptoSlate reported that as many as ten firms, including HashKey, Venture Smart Financial Holdings, Samsung Asset Management, and CSOP Asset Management, are exploring the feasibility of launching spot Bitcoin ETFs in the Asian city.
Bitcoin ETFs have generated much interest and attention globally thanks to their record-breaking entrance into the U.S. market. Within just ten trading days, the ETFs have significantly altered the market as they have amassed a substantial amount of the top cryptocurrency for their fund.
The revised proposal allows the ETF to utilize both in-kind and cash mechanisms. The ETF plans to store Bitcoin in cold storage, with custody services provided by Coinbase Custody Trust.
Franklin Templeton has submitted an updated S-1 filing to the Securities and Exchange Commission (SEC), seeking approval for the launch of a Bitcoin exchange-traded fund (ETF). This move comes shortly after the SEC decided to postpone the consideration of the previous proposal.
The Franklin Bitcoin ETF shall list on the New York Stock Exchange’s Arca platform, mirroring the performance of Bitcoin’s price before fees and expenses, as outlined in the preliminary prospectus.
The revised proposal allows the ETF to utilize both in-kind and cash mechanisms. While the SEC has recommended a cash model, investment giants BlackRock and Ark Invest are contemplating Bitcoin ETFs that employ in-kind creations and redemptions. The ETF plans to store Bitcoin in cold storage, with custody services provided by Coinbase Custody Trust.
UPDATE: Franklin has submitted an updated prospectus for their spot #Bitcoin ETF
Earlier today (tweet below) i said that Franklin was the only filer that had not yet submitted an amended S-1. It just dropped a minute ago. pic.twitter.com/wtVLxUlASf
— James Seyffart (@JSeyff) November 28, 2023
Despite the SEC’s historical rejection of spot Bitcoin ETF applications due to concerns about volatility, liquidity, and potential manipulation, recent approvals of Bitcoin futures ETFs suggest a growing openness to the concept. This development coincides with a broader trend, where major financial institutions like Fidelity Investments, Citigroup, and BlackRock are either providing exposure to digital assets or exploring opportunities for expansion.
The filing from Franklin Templeton comes soon after the SEC delay. The SEC has invited the public to share their views on concerns related to the potential manipulation of funds and the underlying Bitcoin markets. Interested parties can submit their initial comments on the proposals within a 21-day period to the SEC. Rebuttals, on the other hand, will be accepted up to 35 days after the publication in the Federal Register.
The SEC is gearing up to potentially approve all spot Bitcoin ETF applications simultaneously on January 10, according to Bloomberg ETF Analyst James Seyffart. This coordinated approach aims to eliminate any perceived advantage for early applicants, fostering fairness in the approval process.
Anticipation is high that January 10 could mark a pivotal moment for the crypto market, with expectations of a significant influx of institutional and retail investment, potentially triggering a sustained bull market.
Analysts have made bullish predictions, envisioning substantial price increases for Bitcoin (BTC) in 2024. Fundstrat anticipates nearly a 400% surge, while Matrixport predicts a more than 200% increase to $125,000 by the end of 2024.
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The listing of ORDI token on Binance comes with a Seed Tag hinting at elevated levels of risk and volatility compared to other listed tokens.
In the latest announcement on Tuesday, November 7, Binance will list Ordinals (ORDI) on the platform while introducing spot trading pairs such as ORDI/BTC, ORDI/USDT, ORDI/TRY. Furthermore, Binance also announced that they would be applying a Seed Tag to ORDI.
Ordinals is a new inscription protocol on the Bitcoin network. The total supply of Bitcoins is capped at 21 million, with each Bitcoin divisible into 100 million satoshi, the smallest unit of Bitcoin. This amounts to a staggering 2,100 trillion satoshi in total.
The innovative Ordinals protocol enables the creation of inscriptions by encoding content into individual satoshi units. These inscriptions encompass various forms of data, including text, images, audio, and video. It is important to note that, due to Bitcoin’s block size limitations, inscriptions primarily consist of text and images.
It’s essential to exercise caution when trading ORDI, a relatively new token carrying a higher risk profile. Given its nascent nature, ORDI may exhibit considerable price volatility. Traders are strongly advised to implement effective risk management strategies, conduct thorough due diligence on ORDI’s fundamentals, and gain a comprehensive understanding of the project before engaging in token trading.
The Seed Tag is an indicator applied to innovative projects that might present elevated levels of risk and volatility compared to other listed tokens. In the case of ORDI, the Seed Tag will be associated with this token.
To access trading for tokens marked with the Seed Tag, users are required to successfully complete the corresponding quizzes on Binance Spot and/or Binance Margin platforms every 90 days. This measure is designed to promote awareness and understanding of these tokens’ unique characteristics and associated risks.
Binance, a leading cryptocurrency exchange, has rolled out a special promotion for users interested in trading ORDI tokens. Starting from the moment of this announcement until the commencement of trading, the first 1,000 users who deposit a minimum of 72 ORDI tokens will qualify for a generous reward. Each eligible account will receive a 50 USDT Trading Fee Rebate Voucher.
However, Binance has mentioned a few important points that users need to keep in mind.
Read other crypto news on Coinspeaker.
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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
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Hashdex’s rivals, such as Ark Invest and 21Shares, have also approached the SEC with their separate applications for spot Ether ETFs.
Popular US-based stock exchange Nasdaq has formally filed an application with the Securities and Exchange Commission (SEC) seeking approval to list an Ethereum (Ether) Exchange-Traded Fund (ETF). This innovative investment vehicle is crafted to combine spot ether holdings and futures contracts within its portfolio, paving the way for a novel approach to crypto investment that conforms to regulatory guidelines. According to the filing submitted on September 11, the investment vehicle, known as the Hashdex Nasdaq Ethereum ETF, will be offered by Hashdex, a leading Brazilian asset management firm.
Additionally, the Fund will be entrusted to Toroso Investments, a commodity pool operator registered with the US Commodity Futures Trading Commission (CFTC) and a member of the National Futures Association if approved.
As the first ’33 Act Ethereum futures filed under the ’33 Act, the primary goal of the Hashdex fund is to mirror the daily fluctuations in the Nasdaq Ether Reference Price.
According to the filing, the Fund will adopt a diversified approach to achieve this goal, allocating its assets to investments in Ether, ether futures contracts traded on the CME, and cash equivalents.
Nasdaq’s approach, as described in the 19b-4 form, emphasized the need for balance, noting that instead of holding 100% spot Ether, which could make it more susceptible to price manipulation in the spot market, the Fund will contain a mix of Spot Ether, Ether Futures Contracts, and cash.
“By holding Ether Futures Contracts and cash in addition to Spot Ether, the Fund reduces its dependence on the spot market, thereby mitigating concerns about potential manipulation in unregulated Ether spot exchanges,” the company said in the filing.
The company also explained in the filing that due to the nature of the Fund, the price of the shares may vary from changes in the spot price of Ether.
Hashdex’s approach sets it apart from recent filings of Ethereum ETFs in the United States. Unlike others that depend on the Coinbase surveillance sharing agreement, Hashdex has chosen to source spot ether from physical exchanges within the CME market.
The company’s ETF application joins a wave of recent submissions. Hashdex’s rivals, such as Ark Invest and 21Shares, have also approached the SEC with their separate applications for spot ether ETFs, a sought-after asset class that VanEck is also pursuing.
In June, a wave of crypto ETFs hit the SEC with over 15 companies, including WisdomTree, BlackRock, and Fidelity, seeking approval to offer their customers the opportunity to interact with the industry without directly investing in the asset class.
A month after the submissions, the Commission agreed to review some of the applications, including the one filed by the asset manager BlackRock. That same month, the SEC announced that it had approved the first leveraged Bitcoin (BTC) futures ETF named Volatility Shares 2x Bitcoin Strategy ETF (BITX), which started trading on Chicago Board Options (CBOE) BZX Exchange on June 27.
The SEC, however, has deferred decisions on all other applications, keeping the industry on edge as it eagerly awaits their determination.
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Chimamanda is a crypto enthusiast and experienced writer focusing on the dynamic world of cryptocurrencies. She joined the industry in 2019 and has since developed an interest in the emerging economy. She combines her passion for blockchain technology with her love for travel and food, bringing a fresh and engaging perspective to her work.
Bitwise Trust Fund has withdrawn its application for a Bitcoin and Ethereum Market Cap Weight Strategy exchange-traded fund (ETF) from the U.S. Securities and Exchange Commission (SEC).
Per its withdrawal statement, Bitwise said its “Trust no longer intends to seek effectiveness of the Fund and no securities of the Fund were sold or will be sold, pursuant to the above-mentioned Post-Effective Amendment to the Trust’s Registration Statement.”
This move is a surprise, considering its chief investment officer Matt Hougan urged the SEC to approve all pending ETF applications. In a Bloomberg interview, Hougan stated that the SEC approval of multiple ETFs will “create the most competition, the lowest prices,[and] the best products.”
In the last two months, there has been a notable surge in asset managers’ enthusiasm for cryptocurrency ETFs. Prominent companies such as BlackRock and Bitwise, among others, have filed applications for a Bitcoin spot ETF. Concurrently, the SEC has witnessed a flurry of applications from established financial institutions seeking approval for Ethereum Futures ETFs.
However, the SEC recently postponed its decision on these spot BTC ETF applications, stating the need for additional time to assess the proposed rule change and related concerns carefully. The regulator revealed that the earliest date for its decision would be October.
Despite the delay, market analysts maintain an optimistic outlook, with many expecting the regulatory green light for a spot Bitcoin ETF by year-end.
According to Bloomberg business analysts James Seyffart and Eric Balchunas, the likelihood of approval in the current year is 75%, with a soaring 95% probability predicted for the following year.
The post Bitwise makes surprise ETH and BTC Market Cap ETF application withdrawal appeared first on CryptoSlate.
The U.S. Securities and Exchange Commission (SEC) has delayed its decision on the Ark 21Shares spot Bitcoin’s (BTC) ETF application.
Earlier today, the financial regulator asked for public comments, including written data, views, and arguments, on the Ark’s BTC application within the next three weeks.
In the notice, the SEC asked the public to comment on whether Bitcoin Spot ETFs are vulnerable to manipulation, whether the Chicago Mercantile Exchange (CME ) represents a regulated market of significant size related to spot BTC trades, views on the surveillance sharing agreement (SSA) with Coinbase, and whether the Bitcoin market resists manipulation.
Speaking on the SEC notice, Bloomberg Intelligence analyst James Seyffart described it as a “standard delay letter” with nothing much to it.
Nate Geraci, co-founder of the ETF Institute, observed that the SEC acknowledged the Coinbase SSA, albeit with some reservations. He speculated that the conclusive outcome of the applications might hinge on both the court’s ruling in the Grayscale lawsuit and the regulator’s assessment of Coinbase SSA’s adequacy.
Ark CEO Cathie Wood had anticipated the delay. In an interview with Bloomberg, she said the financial watchdog would “approve more than one [ETF application] at once.”
The investment management firm submitted its ETF listing application in May, providing the SEC a window of up to 240 days to decide. The financial watchdog has a history of delaying spot ETF applications and has outrightly rejected previous applications from various firms.
However, several market observers have opined that there was an increased chance that the regulator might finally approve a spot ETF after it received an avalanche of applications from several traditional financial institutions, including BlackRock, in June.
Meanwhile, news of the SEC’s latest action has left the flagship digital asset unchanged as it was trading at $29,344 after a mild decline of 0.03% in the last 24 hours, according to CryptoSlate’s data.
The post Bitcoin price unchanged as SEC seeks public comments on Ark spot ETF application appeared first on CryptoSlate.
Apple noted that only account holders in the Apple Developer Program can apply for the Vision Pro kit, which should be returned upon request.
Apple Inc (NASDAQ: AAPL) shares closed Monday trading at $192.75, up 0.42 percent from the day’s opening price. The gains had extended by approximately 0.36 percent during the after-hours trading session, thus solidifying its YTD performance of nearly 49 percent. Also, the $3 trillion valued tech company intends to work with application developers in order to wholly utilize the Vision Pro capabilities. Consequently, Apple opened applications for a Vision Pro developer kit to Apple Developer Program account holders with reputable publications.
The impressive performance YTD is partially attributed to the launch of a new product after several years dubbed Vision Pro. Notably, the Apple Vision Pro is set to revolutionize the 3D immersive industry after its planned launch in 2024 at a price of $3,499 per headset.
In addition to receiving the Vision Pro kit, application developers will also get help from the Apple team in setting up the device and onboarding. The company also announced application developers will also get check-ins with Apple experts for user interface (UI) design and development guidance in a bid to help refine their applications. Apple will also provide Vision Pro app developers with two additional code-level support requests to help troubleshoot any issues with the source code. Apple has, however, reserved the right to collect the Vision Pro device upon request.
“Availability is limited and on a first-come-first-served basis. If capacity gets full, you’ll be added to the waitlist and we’ll reach out when more spots become available,” the company noted.
Interestingly, the company has directed all the developers that will be selected not to share access to the Vision Pro gadget with family, friends, or on social media platforms. Meanwhile, the company intends to work with developers from all over the world including through its Labs available in Cupertino, London, Munich, Shanghai, Singapore, and Tokyo.
Apple has undeniably dominated the hardware technology market around the world, having sold billions of devices since its inception. The tech giant has consistently upgraded existing hardware devices to match up with emerging markets and technologies. For instance, the company has upgraded its iOS and smartphone hardware to catch up with the 5G network development.
As a result, Apple has seen its stock market rise exponentially through the Covid and post-pandemic seasons. According to the latest stock market data, AAPL shares gained 26 percent last year and have almost doubled the performance YTD. Having been rated by 44 analysts, the Apple stock market received an average rating of Over.
Since the company began to manufacture its in-house semiconductor chips, Apple has managed to have better control of its output with more reliable performance.
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The United States Securities and Exchange Commission (SEC) has accepted BlackRock’s application for a spot Bitcoin (BTC) exchange-traded fund (ETF) following its acknowledgment of a similar application by Bitwise the day before.
The SEC’s acknowledgment indicates the commencement of the official review process for BlackRock’s ETF proposal. While it is an initial step in a lengthy regulatory journey, it signals the SEC’s readiness to explore the idea of a spot Bitcoin ETF and assess its potential market effects.
ETFs are investment funds that typically follow specific indexes and are commonly traded on exchanges. In the realm of cryptocurrencies, a fund that mirrors the value of one or multiple digital tokens and comprises a variety of cryptocurrencies is known as a cryptocurrency ETF.
On Friday, July 14, the regulator announced that it is also in the process of reviewing applications for various funds, including Wise Origin Bitcoin Trust, WisdomTree, VanEck and Invesco Galaxy.
BlackRock’s entry into the spot Bitcoin ETF race is significant due to its stature in the financial industry. Its filing for a spot Bitcoin ETF included an agreement for “surveillance-sharing” with cryptocurrency exchange Coinbase.
Related: Crypto will transcend international currencies — BlackRock CEO
The competition among companies vying to be the first to launch a Bitcoin ETF in the United States is seen by many as a positive development for the crypto industry. With multiple filings, the chances of success increase, with diverse proposals enabling the SEC to assess different strategies and concerns.
The SEC has yet to approve a spot Bitcoin ETF in the United States; however, in Canada, the financial product is already available. Three significant funds: Purpose Bitcoin, 3iQ CoinShares and CI Galaxy Bitcoin, have been approved by regulators in the country.
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