Asset manager VanEck filed an amended application for a Bitcoin spot (BTC) exchange-traded fund (ETF) on October 27 with the United States Securities and Exchange Commission (SEC), according to to the regulator’s database.
The amended filing highlights that a seed investor purchased the Seed Creation Baskets – a block of 50,000 shares of the proposed ETF – in October with Bitcoin prices determined by MarketVector Bitcoin Benchmark Rate, an index used as pricing cryptocurrency benchmark.
According to financial attorney Scott Johnsson, the filing suggests that seeding the fund will be done with Bitcoin, unlike other cash-seed spot Bitcoin ETF proposals.
Andddddd @vaneck_us joined the modification repositories for spot #bitcoin ETF Issuers. h/t @NateGeraci pic.twitter.com/zdYuUTAaE6
–James Seyffart (@JSeyff) October 29, 2023
A spot Bitcoin ETF would invest directly in Bitcoin, as opposed to existing ETFs that invest in Bitcoin futures contracts. The spot version of the product is expected to attract substantial investment from investors seeking exposure to Bitcoin through traditional asset managers.
With this new filing, VanEck joins a growing list of asset managers updating their applications for a spot Bitcoin ETF. In September, Bitwise Asset Management also filed an amended application respond to SEC objections to the product.
Earlier this month, ARK Invest and 21Shares also amended their joint application, providing additional information about their proposed Bitcoin spot ETF, including custody and asset valuation practices.
The wave of amended filings may indicate that negotiations between asset managers and regulators are moving forward. Commenting on the filings awaiting regulatory approval, ETF analyst Eric Balchunas recently noted that changes in ETF proposals may reflect SEC requests for issuers to address their concerns.
“This means that ARK has received comments from the SEC and addressed them all, and has now put [the] the ball goes in [the] SEC court,” Balchunas explained on X (formerly Twitter). “[In my opinion] good sign, solid progress.
The US SEC has delayed its decision on several spot Bitcoin ETF proposals in the country, including those from BlackRock, Invesco, Bitwise, VanEck and Valkyrie. Market participants and analysts predict that a decision should be made within a few weeks.