Valkyrie Digital Assets is preparing to launch its Bitcoin Exchange Traded Fund (ETF).
The New York Stock Exchange (NYSE) filed a 19B-4 form for their Bitcoin Exchange Traded Fund (ETF) on behalf of the investment firm late Friday. A 45 day review period begins with this form when the SEC approves the filing.
(During those 45 days, the SEC must either approve or deny the request, or extend the review period.)
“This has been something I’ve wanted to do for five years,” said Steven McClurg, Valkyrie Investments chief investment officer. “Only recently did I think the SEC would likely approve a Bitcoin ETF. We probably worked on that seriously in August. “
In the past, the SEC has denied every Bitcoin ETF application, but new SEC chairman Gary Gensler could change the regulator’s stance on the novel investment product. Gensler is a former chairman of the Commodity Futures Trading Commission (CFTC) who has taught crypto and blockchain courses at MIT for the past several years.
In January, Dalia Blass, director of the SEC’s investment management division, left the regulator. In 2018, Blass wrote a letter expressing concerns that the Bitcoin market was not big enough or liquid enough to be ready for an exchange-traded product.
Several companies have applied for a Bitcoin ETF in anticipation of the new administration. In early March, Valkyrie proposed an ETF that would invest most of its capital in companies that have Bitcoin on their balance sheets or are otherwise linked to crypto. Walküre also founded a Bitcoin Trust in early 2021.
Valkyrie is the at least fourth company to file a 19B-4 after VanEck, which was filed on March 1 and whose 19B-4 was approved by the SEC on March 18. The SEC is also reviewing WisdomTree and Kryptoin ETF filings.