New tickers and ARK deposit show Bitcoin futures ETF approval imminent: analyst

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Bloomberg’s senior ETF analyst says there are “good” signs that a Bitcoin ETF will be approved soon, indicating that Ark Invest is filing a Bitcoin futures ETF with an assigned ticker and that Valkyrie is updating its own ETF prospectus with a ticker.

Cathie Wood’s Ark Investment Management LLC has deposited a Bitcoin (BTC) futures ETF under the ARKA ticker, while Valkyrie has assigned its BTC futures prospectus with the BTF ticker.

Bloomberg analyst Eric Balchunas says companies update their proposals when they’ve got everything sorted and “ready to go,” suggesting that Valkyrie may soon be given the green light from the US Securities and Exchange Commission (SEC).

Balchunas too sharp to Ark Invests’ Bitcoin Futures ETF app on October 13 in partnership with 21Shares and whiteAlpha Architect, noting that the assigned ARKA ticker was “another good sign” that the SEC was about to give a check mark.

Referring to the Valkyrie ETF, the analyst added that he is looking for “this type” of updated prospectus filings to determine if an official SEC go-ahead is coming, and said applicants often put in update the final details “just before” the launch. He conceded that with the crypto industry, nothing is certain.

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Permabear Mr. Whale downplayed the importance of Ark Invest news saying all Ark did was update his ‘ARKW ETF prospectus’ to say he could gain exposure to BTC via funds traded on an exchange in Canada.

However, Ark’s latest ETF filing with the SEC does not mention the word “Canada” and the request makes it clear that the fund seeks to invest in “exchange-traded Bitcoin futures contracts that are cash-settled in US dollars ”on the Chicago Mercantile. Exchange (CME).

The price of BTC has jumped 28% since early October to sit around $ 57,500 at the time of writing. Many onlookers attributed the recent pump to expectations that the SEC will soon approve a Bitcoin ETF based on futures contracts.

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Balchunas said earlier this month that ETFs backed by Bitcoin futures have a high chance of being approved in October. He argued that they are regulated under the “40 Act” which is favored by the SEC because it offers better protection to consumers than physically backed Bitcoin ETFs regulated under the “33 Act”.

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“Yes, the SEC kicked off Bitcoin ETF approval BUT it’s for those who are physically supported under Law 33,” he said and added:

“The Law 40 futures ETFs (which Genz loves) are alive and well and probably on schedule (we think a 75% chance were approved in October).”

Opinions vary, however, and Todd Rosenbluth, senior director of ETFs and mutual fund research at research firm CFRA, said this week he believes approval for a BTC futures ETF may be delayed. until 2022.

Speaking on TNZT’s ETF Edge, Rosenbluth said the current cloudy regulatory landscape could lead to further delays and the SEC could wait to approve all ETFs simultaneously to avoid a “first-come advantage”.

“It is possible – in fact, we think it is likely – that we will see a delay of a Bitcoin futures ETF until 2022 until the regulatory environment is clearer,” he said. -he declares.