BlockFi Files for Physically Supported Bitcoin ETF

Cryptocurrency lender BlockFi has filed documents with the United States Securities and Exchange Commission, or SEC, to launch a physical...



Cryptocurrency lender BlockFi has filed documents with the United States Securities and Exchange Commission, or SEC, to launch a physically backed Bitcoin exchange-traded fund, kicking off what is expected to be a big week for the markets. cryptography

The Form S-1 filing for BlockFi NB Bitcoin ETF was submitted to the SEC on November 8. according to to official documents. The record indicates that BlockFi will serve as the custodian and that the investment objective of the ETF is to reflect the underlying performance of Bitcoin as opposed to any benchmark of futures or derivatives.

The record further states that “the trust will not buy or sell bitcoin directly, although the trust may order the custodian to sell bitcoin to pay for certain expenses.”

ETF listing news broadcast on Crypto Twitter amid speculation the SEC may be approaching its first physical Bitcoin ETF approval as early as this week.

As Bloomberg’s James Seyffart Noted, the SEC decision on the highly anticipated Bitcoin ETF spot VanEck is expected on November 14.

Related: Why now? The SEC Took Eight Years to Authorize a Bitcoin ETF in the United States

Last month, the U.S. securities regulator approved ProShares Bitcoin Strategy ETF, the country’s first BTC exchange-traded fund. However, the approval came with a caveat – the price of the fund is tied to BTC futures as opposed to the spot price. Shortly after approving the ProShares fund, the SEC gave the green light to Valkyrie Bitcoin Strategy ETF, which is another futures product.

Although ETFs based on futures contracts are not sought after by Bitcoin purists, they have proven to be remarkably popular with investors. As Cointelegraph reported, ProShares ETF debuted with the highest natural volume ever achieved on day one over a billion dollars. By the end of October, institutional managers had bought more than $ 2 billion worth of Bitcoin products during the month, largely thanks to ETF approvals.