ARK Invest amends Bitcoin spot ETF application in race for SEC approval
ARK Invest, led by Kathy Wood, and digital asset manager 21Shares recently revision The US-based Bitcoin ETF’s filing includes a surveillance sharing agreement, which appears to be a reaction to BlackRock’s filing two weeks ago.
These surveillance sharing agreements are planned between the CBOE options exchange and the US-based Bitcoin trading platform to increase market transparency and integrate the cryptocurrency market with existing US market surveillance practices. It is intended to
ARK’s and 21Shares’ amendments follow analysis by ARK’s Yasin Ermanjira that it should be relatively easy and low-cost to embed surveillance sharing agreements into existing applications. The change could put ARK and 21Shares in a better position than BlackRock in the race to debut the first US-based Bitcoin ETF, considering ARK and 21Shares filed their applications in April.
The SEC’s main concerns over Bitcoin ETFs center around potential market manipulation, resulting in multiple denials of physically-backed Bitcoin ETF applications. Bloomberg Intelligence said regulators frequently express the need for surveillance-sharing agreements with “substantial regulated markets.”
BlackRock’s filing triggered a massive surge in the cryptocurrency market, with the value of Bitcoin soaring by more than 21%, surpassing $30,000. The rise reflects the financial heavyweight’s influence and prestige in the investment community.
Additionally, a Nomura-backed LaserDigital survey found that 96% of the 303 professional investors surveyed (managing a total of $4.95 trillion) expressed interest in investing in cryptocurrencies. It has been shown. The survey also revealed that 82% of his participants had positive feelings towards Bitcoin and Ethereum, and 88% were considering investing in cryptocurrencies or were their customers. reported doing so.
BlackRock’s Bitcoin ETF filing has rekindled interest among institutional investors, leading to optimistic predictions of a new wave of Bitcoin-related financial products coming from Wall Street. Bitcoin has been hardened following SEC enforcement action against crypto exchanges Binance and Coinbase, with regulators saying several notable tokens and projects, including Solana, Cardano, Polygon, and others Opinions directly claim to be unregistered securities.
Notably, Bitcoin was not named by name in either lawsuit, with SEC Chairman Gary Gensler expressing his view that Bitcoin is the only cryptocurrency that does not fit the definition of security. clearly stated.
Critics, however, have warned that BlackRock’s proposed structure for the ETF is similar to past failed applications, casting skepticism about its chances of approval. However, the move by BlackRock, the world’s largest asset manager, reflects a growing demand for bitcoin exposure among its clients, including some of the world’s largest financial institutions.
