On Thursday VanEck and SolidX proposed physically-backed bitcoin. The U.S. Securities and Exchange Commission (SEC) advertised that has begun a regular survey process for the ETF proposed which means this particular ETF is to be backed by physical Bitcoin.
Moreover, those behind this physically-backed Bitcoin ETF are SolidX and VanEck, and they are looking to list the relevant fund – tentatively dubbed the VanEck SolidX Bitcoin Trust – on the CBOE BZK Exchange.
From the order:
“Institution of such proceedings is appropriate at this time in view of the legal and policy issues raised by the proposed rule change. Institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved.”
The order comes as partially surprise action. CBOE initially applied to list the VanEck SolidX Bitcoin Trust this June – however, the SEC subsequently delayed its decision on whether to green-light the fund or not, imposing a new September 30th deadline.
It is worth noting that the VanEck-SolidX ETF would hold so-called ”physical Bitcoins”, instead of cryptocurrency futures agreements. This is unlike the preponderance of a while ago proposed Bitcoin ETFs, but it remains to be seen whether this will make a difference in whether the fund is approved or not.
Please enter CoinGecko Free Api Key to get this plugin works.Granting the fund would technically be possible to retail buyers, each share would present 25 BTC (more than $160,000 at the current exchange rate), therefore basicly speaking it would likely be bounded especially to wealthy investors and foundations. That’s by design, as the SEC has been cheifly careful about making investment profit that it considers risky more attainable to unsophisticated volunteers.
Up until so far, the SEC has denied every Bitcoin-based exchange-traded fund application. Nonetheless, Toshi Times has previously covered how the SEC seems to have a commissioner quite open to the notion of cryptocurrency ETFs, in Commissioner Hester Peirce. The SEC said that it received more than 1,400 comments on the proposed rule change.
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