Cboe Global Markets Inc. yesterday submitted an application to the SEC to list a bitcoin exchange-traded fund (ETF).
The owner of the largest US option price, Cboe Global Markets Inc., proposed listing and trading the shares in a bitcoin trust of VanEck, a New York-based asset management company. If approved, the VanEck Bitcoin Trust could become the first ETF with cryptocurrency exposure in the US’s largest ETF services State Street Corporation
This is the latest attempt by Cboe to list a bitcoin ETF since 2016 when Cameron and Tyler Winklevoss proposed one of the first such products, which was later rejected by the Securities and Exchange Commission. On page 92 decision released in July 2018, the Commission mentioned the susceptibility of the bitcoin and bitcoin markets to manipulation.
Could this time be a charm? Since 2016, bitcoin’s market value has grown nearly a hundred times, recently hitting $ 1 trillion. Listed companies such as Tesla
Cboe’s latest proposal argues that the explosion of digital assets and increased US investors’ exposure to bitcoin in recent years through OTC bitcoin funds has increased potential risks for investors, including volatility and management fees, which can be eliminated by providing access to a bitcoin-traded product.
Perhaps the explosion of the cryptocurrency industry over the past year and the success story of the first North American bitcoin ETF launched in Canada two weeks ago, which reached well over $ 400 million in trading volume in just two days, could tip the scale this time and be enough for to convince regulators that US investors are ready to adopt alternative bitcoin products.
This can also prove to be a chance for Cboe to redeem himself in another way. In 2017, the company was one of the first in the US market to launch bitcoin futures but quickly abandoned the initiative in the midst of the cooling after the ICO bonanza. CME Group