More Bitcoin ETF Updates, SEC Calls Expected Today but Decision Next Week: Bloomberg, Fox Analysts

The U.S. Securities and Exchange Commission (SEC) is on the verge of potentially approving multiple spot Bitcoin ETFs, as recent activity from major financial institutions shows. As Bloomberg's James Seyffart points out, the market is eagerly awaiting changes to the 19b-4 filings that are critical to approval. These changes are expected to address issues related to cash creation and redemption mechanisms, an important component in the path to ETF approval.

Fox Business' Eleanor Terrett echoes Seyffart's sentiments given the expected filing of amended 19b-4 filings in a closely watched development. The amendments and comments to S-1s will impact the potential launch dates of these ETFs. Terrett posted on X,

“I expect some amended 19b-4 filings today as well as some eleventh-hour phone calls regarding comments on S-1s and possible launch dates. The timeline for approvals still looks like next week, but depends on how quickly the SEC can review the comments and changes made today.”

As Terrett notes, the process now is all about dotting the i's and crossing the t's.

We await decisions on applications from major players such as Grayscale, Fidelity, Valkyrie, iShares BlackRock, Ark, VanEck, Franklin Templeton, Invesco Galaxy, WisdomTree, Global X, Hashdex and 7RCC and await the SEC's decision.

As of our last report, only VanEck, Grayscale and Fidelity had filed Form 8-A. Since then, Valkyrie and Ark filed late on January 4th, also signaling their readiness and progress toward launching a spot Bitcoin ETF. While filing Form 8-A is a crucial step, it does not guarantee approval but does demonstrate the issuer's willingness to comply with SEC regulations.

Other recent SEC updates include the recent receipt of an EFFECT form for trust conversion from Hashdex, indicating SEC approval for the restructuring of the Hashdex Bitcoin Futures ETF into another fund on January 2nd. However, it is important to understand that this approval is separate from the approval of a spot Bitcoin ETF, which is included in a related but separate filing.

The anticipation for the SEC's decision is palpable, as evidenced by yesterday's recovery in the price of Bitcoin. It registered a 6.89% increase from its January 3 low, buoyed by market optimism, and traded turbulently between US$42,600 and US$44,200 during January 5, which is notably the deadline for comments on several ETF applications. traded in dollars. This increase reflects the high stakes and interest in approving a spot Bitcoin ETF, which would allow ETFs to invest directly in Bitcoin, unlike Bitcoin futures.

Grayscale, Fidelity, Ark, VanEck and Valkyrie are at the top “on paper” when it comes to filing the necessary documents to launch a spot Bitcoin ETF. However, the current market consensus is that if the SEC approves the concept of a spot Bitcoin ETF, in principle many, if not all, filings will be approved. The results of these deliberations are highly anticipated and could have implications for the broader crypto market.

The crypto market is on edge as the SEC deliberates on approving spot Bitcoin ETFs.

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