VanEck’s Bitcoin ETF also ready for listing
VanEck’s Bitcoin ETF also ready for listing
Bitcoin

VanEck’s Bitcoin ETF also ready for listing

By Vincenzo Cacioppoli - 21 Oct 2021

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A second Bitcoin ETF, issued by the financial firm VanEck, could be listed on October 25.

The news comes just days after the approval of BITO, ProShares’ NYSE-listed ETF, which set record volumes, contributing to Bitcoin’s new ATH

VanEck’s Bitcoin ETF 

The firm had already filed its first ETF last March with the SEC, but it had not been approved.

Now, however, VanEck has reported that it has been given the green light by the SEC to list after October 23. It is therefore very likely that the new ETF will be listed on Monday, October 25.

VanEck’s new ETF will be called XBTF and will have Bitcoin futures contracts as its underlying, just like Proshares’. Nate Geraci, co-founder and President of the ETF Institute, enthusiastically tweeted that. 

“Vaneck is joining the bitcoin futures ETF party next week”.

Following this news, as Geraci said, Bitcoin itself has evidently also joined the party, updating its all-time high to almost $67,000.

ETF Bitcoin
VanEck’s Bitcoin ETF

The Proshares Bitcoin ETF

The first day of the Proshares ETF listing saw record volumes traded, reaching around $280 million in the first twenty minutes, and then closing with nearly $1 billion in traded assets.

The SEC opens to Bitcoin futures ETFs

While the SEC continues to be very cautious about Bitcoin, cryptocurrencies, and directly related financial instruments, it appears to be taking a different approach to derivatives, not least in view of the words of Chairman Gary Gensler.

In August, Gensler openly referred to a possible favourable opinion from the SEC regarding ETFs with underlying Bitcoin Futures, but not with the cryptocurrency itself. 

Surely this favourable attitude does not depend so much on greater protection for investors (it is well known that futures are considered among the riskiest financial products), but rather on the fact that Bitcoin Futures contracts are listed on the CME and therefore subject to regulation by the American financial authorities.

Other Bitcoin ETFs

According to rumours, four more Bitcoin futures ETFs may be given the green light by the SEC in the coming weeks: 

The world’s first Bitcoin ETF to be listed was in February 2021 by Purpose Investment on the Toronto Stock Exchange in Canada, which has Bitcoin itself as its underlying. Canada also saw the first-ever multi-crypto ETF listed in September, which is based on both BTC and ETH. 

Anthony Bertolino, Vice President of iTrustCapital explained:

“The launch of the first bitcoin-linked ETF in the U.S. will bolster the broader crypto market and help an entirely new investor class experience the benefits of bitcoin as a legitimate asset”.

Bertolino also said that investors will soon want an ETF with the spot currency underlying it. Speaking to CNBC, he added: 

“One of the most attractive aspects of bitcoin is that it’s a bearer asset with a highly liquid 24/7 spot market. Investors will almost certainly come to desire a spot based, physically backed bitcoin ETF and 10 years from now, I would even expect some of the bitcoin ETFs to allow physical redemption for those that want it”.

Vincenzo Cacioppoli

Vincenzo was born in Genova but lived most of his life in Milan. He has a degree in political science. He is a journalist, blogger, writer, and marketing and digital advertising expert. After a long experience in traditional marketing, he started working with the web and digital advertising in 2011, creating a company called Le enfants. Passionate about the web and innovation, in 2018 he started exploring the topics related to blockchain technology and cryptocurrencies. Independent cryptocurrency trader since March 2018, he now collaborates with companies in the sector as a content marketing specialist. In his blog. mediateccando.blogspot.com, he has long been primarily focused on blockchain, which he considers to be the greatest technological innovation after the Internet. His first book about blockchain and fintech is scheduled for release in November.

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