Cboe Makes Third Attempt to List ARK 21Shares Bitcoin ETF

The proposed ETF, a collaboration between Cathie Wood’s Ark Invest and crypto investment product firm 21Shares, aims to list and trade on the Cboe BZX exchange

article-image

Ariel Bravy/Shutterstock, modified by Blockworks

share

Cboe Global Markets has made its third attempt to secure regulatory approval for a spot Bitcoin ETF from the US Securities and Exchange Commission (SEC). 

The ARK 21Shares Bitcoin ETF, if approved, would allow investors to gain exposure to Bitcoin without owning the digital currency directly.

The proposed ETF, a collaboration between Cathie Wood’s Ark Invest and crypto investment product firm 21Shares, aims to list and trade on the Cboe BZX exchange, Reuters reported on Tuesday. It marks the latest effort by Cboe, following two previous unsuccessful attempts to list and trade the same ETF. 

Cboe BZX Exchange is one of the largest US equities market operators on any given day, clocking $1.4 billion in 24-hour trade volume. It is owned and operated by Cboe Global Markets, which also owns the Chicago Board Options Exchange and other exchanges around the world.

The operator has made attempts to list and trade the ARK 21Shares Bitcoin ETF in the past, including in May 2022 and August 2021. They were both rejected on the grounds the product did little to prevent fraud, according to the SEC.

The regulator has historically been cautious about such proposals, citing concerns over potential market manipulation and the lack of transparency in the crypto market.

To date, the SEC has rejected more than a dozen other proposals for spot bitcoin ETFs over a number of years, including from prominent firms such as Grayscale, Fidelity, and NYDIG. 

Despite the regulator’s reservations, the increasing demand for bitcoin and other digital assets has fueled a renewed push for regulatory approval of crypto-based financial products.

That’s led to the creation of US-based bitcoin futures ETFs, most notably from issuers Proshares, Valkyrie and VanEck, which have been available for nearly two years.

But a spot bitcoin ETF remains elusive. Comparable products are available in developed markets outside the US, and the SEC has faced criticism for its intransigence, to the point where Grayscale is suing the agency.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research report - cover graphics (1).jpg

Research

In this report, we dive into crypto private market data to gather insights on where the future of the industry is headed. Despite a notable downturn in private raises, capital continues to infuse promising projects that aim to transform payments, banking, consumer experiences, community, and more, with 2023 being the fourth-largest year for crypto venture capital.

article-image

Revolut said that the standalone crypto exchange is currently “invite only”

article-image

The stock price jump comes after Coinbase reported ending its seven-quarter run of net losses during the fourth quarter

article-image

BUZZ holds shares of Coinbase, Robinhood and MicroStrategy

article-image

Opinion: Even though I didn’t pay for my “Diamond Hands” burger with BTC, don’t let that fool you into thinking that crypto’s development is futile

article-image

The results mark “a major positive inflection point,” one analyst says, as the exchange carries net income momentum into a crypto rally

article-image

While the slate of 10 US spot bitcoin funds have tallied $4.6 billion of net inflows thus far, half of the field is lagging the leaders