The BlockFi Bitcoin Strategy ETF would only invest in Bitcoin futures contracts that are traded on the CME.
- BlockFi lending platform is the latest to enter the Bitcoin Futures ETF race, with a new registration intent filed with the SEC today.
- ETF analysts are optimistic that the commission will approve up to four BTC futures ETFs in October.
- The BlockFi Bitcoin Strategy ETF is last in a queue at the SEC desk, with ProShares topping the list.
The Bitcoin lending platform BlockFi wants to offer a Bitcoin Futures Exchange Traded Fund (ETF) in the US, as a new filing with the Securities and Exchange Commission (SEC) shows. The company is the latest to enter a race that analysts believe may bring some harvest this month.
Bloomberg reported that its ETF analysts are “very bullish” on approving a Bitcoin futures ETF in October, with up to four offers likely to receive the SEC’s green light. BlockFi’s ETF could be fifth, but it’s unlikely to get approved before ProShares, Valkyrie, VanEck or Galaxy, all of which were filed first.
Eric Balchunas, Senior ETF Analyst at Bloomberg, tweeted the company’s latest analysis on Bitcoin futures ETF filings and their likelihood of being approved. ProShares tops the list, followed by Valkyrie.
The BlockFi Bitcoin Strategy ETF is seeking registration under the Investment Company Act of 1940. The Fund would invest in cash settled futures contracts traded on the Chicago Mercantile Exchange (CME), short term fixed income securities, and cash or cash equivalents. according to the filing of October 8th.
“The fund aims to invest in bitcoin futures so that the total value of the bitcoins in which the fund is economically exposed is approximately 100% of the fund’s net assets,” the filing stated. However, exposure to Bitcoin futures will be done indirectly through investments in a wholly owned subsidiary organized under the laws of the Cayman Islands.
BlockFi will list its Bitcoin Strategy ETF on the Cboe BZX Exchange and will be advised by Exchange Traded Concepts, LLC, which will have overall responsibility for the overall administration and administration of the fund.
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