Unlock Premium Data: Up to 50% Off InvestingProCLAIM SALE

Fidelity spot bitcoin ETF application refiled with U.S. SEC

Published 06/29/2023, 02:00 PM
Updated 06/29/2023, 04:43 PM
© Reuters. FILE PHOTO: A sign marks a Fidelity Investments office in Boston, Massachusetts, U.S., April 28, 2022.   REUTERS/Brian Snyder/File Photo

(Reuters) -Asset manager Fidelity is once again seeking to list and trade shares of its Wise Origin Bitcoin Trust spot bitcoin exchange-traded fund, according to a filing by listing exchange Cboe Global Markets (NYSE:CBOE) with the U.S. Securities and Exchange Commission.

Fidelity is one of several big asset managers that have applied to list bitcoin ETFs recent weeks. BlackRock (NYSE:BLK), WisdomTree, Invesco and VanEck also submitted paperwork for spot bitcoin ETFs on Cboe BZX, Nasdaq and NYSE Arca, which is owned by Intercontinental Exchange (NYSE:ICE) Inc.

The spate of filings from the so-called "traditional finance" heavyweights has breathed some life into an ailing crypto industry, with bitcoin hitting a one-year high over $31,000 on June 23.

Bitcoin had struggled to gain traction after a series of crypto company meltdowns, including the sudden collapse of exchange FTX late last year, which authorities say was running a multi-billion dollar fraud.

A regulatory crackdown has also weighed on the crypto sector. Binance and Coinbase (NASDAQ:COIN) Global, two of the biggest crypto exchanges, were sued this month by the SEC for allegedly violating its rules, which the pair deny.

The SEC has rejected dozens of spot bitcoin ETF applications in the past few years, including one from Fidelity in January 2022. In all cases, the regulator said the filings did not meet standards designed to prevent fraudulent and manipulative practices and protect investors and the public interest.

© Reuters. FILE PHOTO: A sign marks a Fidelity Investments office in Boston, Massachusetts, U.S., April 28, 2022.   REUTERS/Brian Snyder/File Photo

The first bitcoin futures ETF was approved in October 2021, helping send the volatile bitcoin to an all-time high of $69,000 in November 2021, and raising hopes that a spot bitcoin ETF would soon be approved.

Spot ETFs directly track the price of the cryptocurrency, while futures-based ETFs follow the price of bitcoin futures contracts.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.