New York-based investment manager WisdomTree filed an application for a spot Bitcoin exchange traded fund on Tuesday, marking the third attempt to launch the product in two years.
According to a June 20 filing with the U.S. Securities and Exchange Commission (SEC), the firm is seeking approval to list the “WisdomTree Bitcoin Trust” on the Cboe BZX Exchange under the ticker “BTCW.”
WisdomTree’s first application for a spot Bitcoin ETF was rejected by the SEC in December 2021, and its second application met the same fate in October 2022. In both instances, the regulator cited concerns over fraud and manipulation in the crypto markets as the reason for not issuing an approval.
WisdomTree’s renewed optimism comes on the back of BlackRock’s filing for a spot Bitcoin ETF last week. The $10 trillion asset manager is seeking approval to list its “iShares Bitcoin Trust” on the NASDAQ.
Other major asset managers appeared to echo these sentiments, with Atlanta-based Invesco reactivating its application for a spot Bitcoin ETF just under four hours later.
And now Invesco has reactivated their 19b-4 for their spot ETF https://t.co/D2zTpqrqJH
— Eric Balchunas (@EricBalchunas) June 20, 2023
In the 19-b4 filing, which informs the SEC of a proposed rule change, Invesco asked for its “Invesco Galaxy Bitcoin ETF” to be listed on the Cboe BZX exchange. The firm had filed for an ETF with digital asset manager Galaxy Digital in 2021, but abandoned the effort a few months later. Tuesday’s filing noted that the product would provide investors with indirect exposure to Bitcoin, through the use of professional custodians and service providers.
The lack of a spot Bitcoin ETF on the market has pushed U.S. investors towards riskier alternatives, like holding their assets on FTX, Celsius, BlockFi and Voyager, argued Invesco in the filing.
Bloomberg ETF analyst Eric Balchunas commented that “BlackRock breathed new life into the race” for Bitcoin exchange traded products. However, some industry watchers commented that the timing of these filings was curious, given the particularly harsh regulatory stance the SEC has adopted towards the digital asset industry of late.
Quick inventory of spot bitcoin ETF filings since last Thursday…
iShares (world’s largest ETF issuer)
Bitwise (knows space inside & out)
WisdomTree (top 10 issuer)
Invesco (4th largest issuer)
What changed recently?
SEC has been on warpath against crypto.
Something’s up.
— Nate Geraci (@NateGeraci) June 21, 2023