Monday , February 6 2023

After years of waiting, the first Bitcoin ETF (BTC) has been approved in the United States


The first Bitcoin ETF in the United States

It finally happened. After more than 8 years of advocating for the crypto industry, the Securities and Exchange Commission (SEC) has given the green light Bitcoin (BTC) Stock Exchange Fund (ETF).

These funds, better known in English stock exchange funds, correspond to index funds whose units can be sold or bought directly on the stock exchange. The ETF offers investors the opportunity to access the BTC market through a traditional brokerage account, without possible technical barriers to entry or the risk of holding or transferring the BTC directly.

ProShares ETF, based on bitcoin battles, should be stated on Monday if there is no last minute regulatory intervention.

The company has submitted an amended prospectus stating its intention to launch fund on October 18 under the label BITO. Players in the sector have been waiting for several years for the confirmation of the bitcoin-based ETF in the United States.

Futures-based ETF

The US regulator has approved the creation of the Bitcoin ETF, however, it is not a fund indexed to the price of bitcoin, as most players wanted. Instead, the agency approved an ETF for BTC Futures.

This means that the new fund, offered by ProShares, will not provide guaranteed shares, but actions related to a set of future bitcoin purchase agreements.

SEC President Gary Gensler said he believes in offering future products better protection for investors due to the laws governing them.

Further ETF applications, this time based on the spot market, are being considered by the SEC. The regulator recently postponed its decision for the Bitcoin ETF of the management company VanEck for November 14. In its previous releases, The SEC has always invoked the fear of manipulation on the Bitcoin spot market.

👉 Read on the same topic: Bitcoin (BTC) again exceeds $ 60,000 as the SEC prepares to approve ETFs

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About the author: Florent David


Included in the crypto ecosystem since 2017. I am particularly interested in decentralized finance (DeFi), Ethereum 2.0 and irreplaceable tokens (NFT).
All articles by Florent David.

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