Popular asset manager Valkyrie has submitted its final Form S-1 for its spot Bitcoin exchange-traded fund (ETF) to the United States Securities and Exchange Commission (ETF). The firm made the submission on Monday indicating some new information. In the request, the asset management firm asked the regulator for its approval regarding its application to offer a spot Bitcoin ETF product.Â
As reported, Valkyrie raced against time to complete the submission of the Form S-1 before the SEC approved the historic Bitcoin ETFs in the United States. According to emerging reports, there are high hopes that the SEC will approve applications for the first spot Bitcoin ETFs in the United States by January 10, 2023.
Furthermore, Valkyrie made some adjustments to its initial proposed fee for the potential spot Bitcoin ETFs. However, other top asset management companies that applied for the spot Bitcoin ETFs also followed the footpaths of Valkyrie to submit their respective amendments. Some of these firms are BlackRock, Galaxy, Grayscale, ARK Invest, WisdomTree VanEck, 21 shares, Fidelity, Bitwise, Franklin Templeton, and Invesco.
Meanwhile, the huge inflow of the submissions came as anticipated. As revealed, potential issuers of the spot Bitcoin ETF were expected to complete their respective Form S-1 amendments before the end of today. Insights into some of these amendments indicated how some of these potential issuers reduced charges for trading their potential Bitcoin ETF offerings.
As indicated, companies like ARK and 21Shares will forfeit its 0.25% charges for the first $1 billion in transactions. Also, BlackRock is offering a similar waiver. The asset management giant is willing to charge 0.30% after an initial 0.2% fee during the first six months from the day of listing.
What are Experts Saying About Spot Bitcoin ETF
There are mixed opinions as there are high hopes that the SEC will approve applications for Bitcoin ETFs in two days’ time. Against popular opinion, renowned crypto firm, Matrixport in a recent report submitted that the SEC is likely to reject many applications for the product. The firm argued that most products may not get approval until the second quarter of 2024.
Likewise, in its submission, Matrixport stated that most applications for the spot Bitcoin ETF are short of the SEC’s standard. Furthermore, the crypto research firm opined that the rejection may lead to a rapid dip in the value of Bitcoin. The company predicted that the value of BTC may drop by 20%, dipping to a price range of $36,000-$38,000.
On the flip side, Bryan Armour, director of passive strategies research for North America at Morningstar is optimistic about the applications for Bitcoin ETF. Armour disclosed that if approved it would become the best ETF product in the market for investors. The executive added that he feels the SEC is more serious about the recent applications for Bitcoin ETF.