THELOGICALINDIAN - Invesco has abandoned its Bitcoin futures ETF filing hours afore ProShares is due to barrage a agnate artefact on the New York Stock Exchange
Invesco Ltd., a U.S.-based advance administration aggregation with over $1.56 abundance in assets beneath management, has autonomous to abjure its Bitcoin futures ETF application.
Invesco Aims to Pursue Physical Bitcoin ETF
Invesco has abandoned its Bitcoin Futures ETF filing.
The asset administration close was one of the aboriginal in band to book for a futures-based Bitcoin ETF in August but has absitively to adjournment the able date of its Bitcoin Strategy ETF until Oct. 29, 2021. “We accept bent not to accompany the barrage of a Bitcoin futures ETF in the actual near-term,” an Invesco agent told Bloomberg. The close will abide alive with Galaxy Digital to action investors acknowledgment to agenda assets, including advancing a physically-backed agenda asset ETF.
The move to briefly bead out of the chase has bent abounding industry experts off guard, abnormally accustomed that the SEC had adumbrated it had no objections with its application. Invesco was due to apprehend aback on whether it could barrage the ETF this week.
The aboriginal close to accept an approval from the SEC was ProShares, an American provider of specialized exchange-traded articles with over $53 billion in assets beneath management. ProShares’ Bitcoin Strategy ETF is set to activate trading on the New York Stock Exchange today beneath the ticker BITO.
Two added Bitcoin futures ETFs acceptable to activate trading afore the end of the ages are VanEck’s and Valkyrie’s Bitcoin Strategy ETFs. The SEC appropriately has until Oct. 24 and Oct. 25 to acknowledge to the filings.
Several firms filed applications with the SEC in August afterwards the agency’s administrator Gary Gensler stated it would acceptable favor futures-based Bitcoin ETF articles over physical-based ones.
Futures-based ETFs represent a acknowledged acceding that obligates traders to buy or advertise the apparatus that advance the amount of the basal asset (in this case, Bitcoin) at a specific time, quantity, and amount in the future, whereby the affairs are about cash-settled. On the added hand, a concrete Bitcoin ETF would represent funds that authority Bitcoin rather than cash-settled contracts. They would accord investors acknowledgment to the amount of Bitcoin through the shares of the armamentarium trading on acceptable banal exchanges.
Judging by Invesco’s latest comments, the close is no best absorbed in ablution a futures-based Bitcoin ETF. Instead, it seems to be axis its focus against accepting a physically-backed agenda asset ETF.
