Get the inside scoop on the meeting between Fidelity and the SEC to chat about the spot Bitcoin ETF application. Dive into the nitty-gritty details and find out what it means for the future of cryptocurrency investing.
The United States Securities and Exchange Commission (SEC) recently met with Fidelity Investments to discuss its spot Bitcoin (BTC) exchange-traded fund (ETF) application. The meeting, which took place on Dec. 7, included representatives from Cboe BZX Exchange, SEC personnel, and Fidelity personnel. The purpose of the meeting was to provide additional clarity on the Wise Origin Bitcoin Trust and the proposed rule change to list and trade shares of the trust under Cboe BZX Rule 14.11(e)(4).
During the meeting, Fidelity presented PowerPoint slides to illustrate the operational framework of the Bitcoin ETF. The filing also stated that allowing for physical creation and redemption is critical to enhance trading efficiency and secondary market pricing for all participants. Fidelity submitted a spot Bitcoin ETF application to the SEC on June 19, following similar filings from other asset managers. However, the SEC had previously rejected Fidelity’s application for a spot Bitcoin ETF in 2022.
Recent news indicates that the SEC is meeting with spot Bitcoin ETF applicants to discuss various aspects of their applications. The commission separately met with representatives of BlackRock and Grayscale, sparking speculation about when a spot Bitcoin ETF will be approved. Hashdex, one of the applicants, anticipates seeing the first U.S. spot Bitcoin ETF by the second quarter of 2024.
Although the exact timing of a spot Bitcoin ETF in the U.S. remains unclear, the narrative around this product has shifted from a question of ‘if’ to a matter of ‘when.’ Some analysts believe that Jan. 10 will mark the simultaneous approval of all spot Bitcoin ETFs, aligning with the SEC’s deadline to either approve or deny ARK Invest’s application. This suggests a growing anticipation for the approval of a spot Bitcoin ETF in the near future.