The US Securities and Exchange Commission (SEC) has approved an application by Valkyrie Investments to create a futures exchange-traded fund (ETF) denominated in bitcoins.
Valkyrie proposal available only for accredited investors under the Valkyrie Bitcoin Strategy ETF (BTF) and the Valkyrie Bitcoin Trust (VBTC) exchange-traded fund.
Valkyrie chief investment officer Steven McClurg explained that the company filed invoking provisions of the 1934 Stock Exchange Act, which, unlike the 1940 Investment Company Act, can apply to spot ETFs.
Previously, all applications for Bitcoin spot ETFs submitted for approval were, without exception, rejected by the SEC for various reasons as too risky for investors.
Grayscale Investments CEO Michael Sonnenshein said the SEC’s decision weakens the regulator’s argument about not approving spot bitcoin ETFs and gives the industry hope.
An ETF is a specific form of investment that tracks the price of an asset or group of assets. ETFs are an easy way to invest in multiple assets at the same time without actually owning them.
This week, cryptocurrency asset manager Valkyrie Investments announced the launch of another new product for accredited investors focused on the native token of the Avalanche network – Avalanche Trust (VAVAX) Valkyrie.
Source: Bits
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