Cryptocurrency custodian service BlockFi has filed an application with the US Securities and Exchange Commission (SEC) to launch an exchange-traded fund (ETF) for Bitcoin.
As noted in the document, there will be no direct placement of funds in cryptocurrencies – the funds invested in the fund will be used to buy Bitcoin futures. The fund’s shares, if approved, will be traded on the CBOE BZX exchange, and the fund will be actively managed, that is, fund managers will be able to open and close positions depending on the market situation in order to increase profits.
“The fund plans to invest in bitcoin futures so that the total bitcoin price equals approximately 100% of the fund’s assets,” the application says.
Also, the drafters of the application emphasize that cryptocurrencies are a new class of assets and pose significant risks for investors. Any client of the fund must “be prepared to lose their funds in full.”
Recall that now the approval of ETFs specifically for cryptocurrency futures is considered the most likely. The fact is that the head of the SEC Gary Gensler (Gary Gensler) has repeatedly expressed support for such applications. According to Bloomberg analysts, the likelihood of approval of such a fund by the end of the year is about 75%.
At the beginning of the year, BlockFi officially launched the Bitcoin Trust, an investment fund for institutional investors.