Friday, 19 July 2024

Crypto News

ARK, 21Shares update spot Bitcoin ETF application as next SEC deadline looms

ARK, 21Shares update spot Bitcoin ETF application as next SEC deadline looms

ARK Investment Management, a major cryptocurrency investment firm founded by Bitcoin (BTC) advocate Cathie Wood, isn’t giving up on its efforts to launch a spot Bitcoin exchange-traded fund (ETF) in the United States.

ARK Invest, on Nov. 20, filed another amended prospectus for its spot Bitcoin ETF product developed in collaboration with the European digital asset manager 21Shares.

Once approved, the ARK and 21Shares’ Bitcoin ETF, named the ARK 21Shares Bitcoin ETF, will be trading on the BZX Exchange by the Chicago Board Options Exchange (CBOE) under the ticker symbol ARKB, the updated filing reads.

The latest update is the third amendment to the Bitcoin ETF prospectus by ARK and 21Shares after the firms first filed for a spot Bitcoin ETF in April 2023. ARK previously amended its form S-1 registration statement for its spot Bitcoin ETF in October, which was interpreted by experts as a “good sign” of progress.

In September 2023, the SEC again delayed its expected decision on ARK’s spot Bitcoin ETF application. The next deadline for the SEC’s decision has been set for Jan. 11, 2024.

According to Bloomberg ETF analyst Eric Balchunas, the latest filing includes many updates, including numerous risk disclosures designed to satisfy corporate finance requirements.

Related: WisdomTree amends S-1 form spot Bitcoin ETF filing as crypto awaits SEC decisions

“One interesting thing is they are sticking to in-kind creations redemptions — albeit in a hybrid model — to minimize tax and spread issues,” Balchunas noted. “Semi-shocker to be honest, but in a good way,” the ETF observer added, stating:

“The more updates to these documents the better, shows them getting these bad boys in shape for SEC approval.”

Bloomberg ETF watcher James Seyffart also suggested that the latest filing likely reflects that things are moving with the SEC conversations.

While ARK has been actively amending its S-1 spot Bitcoin ETF application, some spot Bitcoin ETF filers haven’t amended their filings yet. According to Steyfart’s data as of mid-November, Franklin Templeton and Global X were the only two firms out of 12 spot Bitcoin ETF filers that haven’t amended their S-1 filings.

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