Long before BlackRock did, ARK Invest filed for a spot Bitcoin ETF in partnership with 21Shares; this application is apparently first in line for the SEC’s clearance.
The battle to introduce a spot Bitcoin exchange-traded fund (ETF) is apparently being driven by ARK Investment Management, a pro-Bitcoin company run by Cathie Wood. This development comes after the bitcoin market was upbeat following BlackRock’s application for a spot Bitcoin ETF.
Contrary to earlier assumptions, some executives and analysts believe that ARK Investment Management and 21Shares, a European asset manager, are in the lead in the race to launch the first spot Bitcoin ETF.
Related: Why Cathie Wood Thinks Bitcoin Will Reach $1 Million
The U.S. Securities and Exchange Commission (SEC) received applications from ARK and 21Shares for a spot Bitcoin ETF in April, making them the current front-runners ahead of BlackRock, according to ARK analyst Yassine Elmandjra.
James Seyffart, an ETF analyst for Bloomberg Intelligence, and other industry watchers concur that ARK and 21Shares should be given preference over rivals when it comes to a Bitcoin ETF.
Other businesses, including Valkyrie, WisdomTree, Invesco, and Bitwise, have re-filed for spot Bitcoin ETFs in response to BlackRock’s application for the iShares Bitcoin Trust, demonstrating a fresh interest in releasing such products.
Some business analysts have expressed alarm over BlackRock’s spot Bitcoin ETF filing’s timing, speculating that the company may be privy to the SEC’s Bitcoin ETF regulations.
Related: BlackRock Nears Bitcoin ETF Filing, Could Open Door for Institutional Investors
Despite the rising euphoria around the prospective introduction of a spot Bitcoin ETF on the American market, many industry professionals think that these products won’t be approved anytime soon. Since the Winklevoss twins submitted an application for a Bitcoin ETF in 2017, the SEC’s progress on approvals has been slow.
A spot Bitcoin ETF is unlikely to be approved by the SEC in 2023, according to Wade Guenther, a partner at Wilshire Phoenix, because there hasn’t been any development since the initial submissions some years ago.