ARK Invest updates Bitcoin Spot ETF and submits changes to SEC

ARK Invest, under the leadership of Cathie Wood, has filed a revised version of its Bitcoin spot ETF with the SEC, suggesting preparation for SEC approval, according to a Bloomberg analyst. 

See below for all the details. 

ARK Invest’s new version of the Bitcoin ETF submitted to the SEC: the details 

As anticipated, ARK Invest, a company under the leadership of Cathie Wood, recently resubmitted its Bitcoin ETF with a third amendment to the S-1 document, demonstrating commitment and care in refining the prospectus. 

This development, while initially surprising, is viewed positively as a sign of dedication in bringing the proposal in line with the Securities and Exchange Commission’s (SEC) regulatory expectations. 

Indeed, each revision of the document reflects progress toward regulatory compliance, underscoring ARK’s importance in ensuring accuracy and completeness in the presentation of its Bitcoin Spot ETF. 

The crypto community welcomes these iterative improvements, perceiving them as a proactive move to increase transparency and address any SEC concerns. 

In addition, ARK’s persistence in refining the S-1 could have a significant impact on the cryptocurrency market, opening up new investment opportunities and influencing overall regulatory sentiment toward digital assets. 

Investors and enthusiasts are closely following these developments, knowing that the approval of a Bitcoin Spot ETF could represent a milestone in the integration of traditional finance and cryptocurrencies. 

The frequent iteration of the S-1 indicates ARK’s ready response to regulatory standards and confirms its commitment to advancing new investment opportunities in the cryptocurrency sector. 

With anticipation for SEC approval, the community looks forward to ARK’s potential success in introducing a Bitcoin ETF to the exchange-traded fund landscape.

Cathie Wood: optimism for approval of Bitcoin ETFs, crucial deadline 10 January 2024

ARK Invest founder and CEO Cathie Wood recently expressed confidence in the imminent approval of an exchange-traded fund (ETF) on the Bitcoin (BTC) spot market by the U.S. Securities and Exchange Commission (SEC). 

In an interview with Yahoo Finance, Wood reveals that the SEC is finally interacting with Bitcoin ETF spot applicants, marking a significant change. 

Wood, who filed the application in conjunction with 21Shares, emphasizes the complexity of the SEC’s applications, interpreting them as a positive sign of involvement by the agency.

In addition, the CEO anticipates possible approval, indicating that the SEC has a deadline set for 10 January 2024 to make a decision on their application. 

Wood suggests that the orchestrated deadline could lead to a final verdict, stating the following: 

 “They will either approve or deny on January 10.” 

He also points out that the SEC could approve multiple applicants at once.

However, Wood acknowledges a possible complication related to Grayscale, as the company wants to convert an existing Grayscale Bitcoin Trust (GBTC) into a spot Bitcoin ETF.

The threat of a lawsuit by Grayscale against the SEC adds an element of uncertainty to the landscape, and Wood reflects on the possibility that this could influence the decision-making process before the 10 January deadline.

The Bitcoin ETF market: $100 billion growth prospects and regulatory challenges

The Bitcoin (BTC)-based exchange traded fund (ETF) market could soon reach an impressive $100 billion valuation, according to recent estimates by Bloomberg Intelligence. 

Galaxy Digital, an investment giant, held a call with more than 300 financial professionals to discuss capital allocation in BTC ahead of the planned ETF launch.

Considerable institutional interest in Bitcoin appears to be growing in anticipation of ETF approval, as highlighted by Jeff Janson of Summit Wealth. 

Not surprisingly, the prospect of imminent approval by the Securities and Exchange Commission (SEC) has sparked debate about how it might affect the investment landscape.

Chuck Cumello, CEO of Essex Financial Services, pointed out that high net worth investors have expressed strong interest in a Bitcoin ETF, seeing it as a “game changer” for ease and convenience of investment transactions.

However, despite the positive expectations, some experts, including BitGo CEO Mike Belshe, foresee possible rejection by the SEC in the short term. 

Indeed, Belshe highlighted the need to separate exchanges from custody, a perspective also supported by SEC Chairman Gary Gensler. 

In conclusion, regulatory challenges could be an obstacle before the Bitcoin ETF market can enjoy full institutional support.