Grayscale CEO pleads Bitcoin spot ETF as SEC backs third BTC Futures ETF

Grayscale CEO pleads Bitcoin spot ETF as SEC backs third BTC Futures ETF

Institutional investors are encouraged to rejoice as there is now another way to get exposure to Bitcoin (BTC). Overnight, the United States Securities and Exchange Commission (SEC), approved a fourth Bitcoin futures exchange traded fund (ETF).

Teucrium, a fund group, is behind the latest approved Bitcoin Futures ETF. This ETF is one of a growing number approved futures ETFs. It joins ProShares, Valkyrie, and VanEck Bitcoin Futures ETFs.

The SEC filing regarding the Teucrium ETF. Source: SEC.gov

To date, every Bitcoin spot ETF was rejected. One investor observer believes that the approval process could have been a boon to spot investors.

The plot thickens along the way to $GBTC’s spot #Bitcoin conversion…
— Sonnenshein (@Sonnenshein) April 7, 2022

Grayscale CEO Michael Sonnenshein has once more called for a Bitcoin spot ETF in a Twitter thread. Sonnenshein, ranked 71st among Cointelegraph’s 100 Top 100, manages the Grayscale Bitcoin Trust. This trust is one of the main ways to buy Bitcoin in the traditional market.

Sonnenshein tweeted, “If the SEC is comfortable using a Bitcoin futures ETF they must also feel comfortable using a spot Bitcoin ETF.”

His argument is that since “all Bitcoin futures ETFs” are equal and the Teucrium falls within a 1933 act rather than the 1940 act which all three ETFs fall, the argument for filing an ETF Bitcoin spot becomes “stronger.”

If the SEC is happy with a #Bitcoin Futures #ETF they should also be comfortable with an ETF that tracks spot Bitcoins. They can’t justifiably cite ’40 Act as the differenceiating factor.
— Sonnenshein (@Sonnenshein) April 7, 2022

Sonnenshein was a long-standing advocate and leader in the creation of a Bitcoin spot ETF. The two companies discussed plans to transform the GBTC Trust into an ETF by October 2021. The GBTC Trust, which has more than $35 billion in assets under its management, is the largest legacy finance organization. Its conversion to a spot ETF would have significant consequences.

Eric Balchunas, a Bloomberg analyst, agrees that this is a “good signal for spot,” meaning a Bitcoin spot-related ETF.

JUST IN: The SEC approves the Teucrium Bitcoin Futures Exchange Traded Fund. It is notable that it was filed under the 33 Act. Genz stated that this Act doesn’t provide enough protections to offset the 40 Act. This is a positive sign for spot. However, we believe that exchanges still need regulations before he gives the green light. h/t @CoinDesk pic.twitter.com/SZMkuMrASc
— Eric Balchunas (@EricBalchunas) April 6, 2022

Related: SEC rejects application for ARK 21Shares spot Bitcoin ETF

Analyst Doomberg suggested that investors are waiting with bated breath for a Bitcoin Spot Exchange Tradeable Fund. This is because futures contracts can be “settled” in cash, and not different acts.

Gary Gensler, chair of the SEC may be blocking spot ETFs. “As long as funds flow to spot ETFs quicker than they are redeem, the net effect provides US Dollar exit liquidity for those looking to cash in their Bitcoin,” Gensler said.

ProShares filed a short Bitcoin Strategy ETF application with the SEC in the interim. The Bitcoin spot ETF saga is still ongoing.

2021's Most Anticipated Growth & Wealth-Building Opportunity

Join Thousands of Early Adopters Just Like You Who Want to Grow Capital and Truly Understand Cryptocurrency Together

Amy Jimenez

Amy Jimenez– Services My name is Amy Jimenez, and I am the main writer behind the" allthetopnews.com" for the ground-breaking and most fragile bits of knowledge into the most recent news in the services sector. I began my voyage of work as an autonomous investment advisor. I had around 4 years of involvement in this field. I am a free soul so; my energy for investigating the world has taken me to the countries over the globe and allowed me to report for a part of the best news affiliations. At present, I am a full-time manager as experienced in the account and began to utilize my capacities.

2021's Most Anticipated Growth & Wealth-Building Opportunity

Join Thousands of Early Adopters Just Like You Who Want to Grow Capital and Truly Understand Cryptocurrency Together

Close Bitnami banner
Bitnami