Ben Strack

Ark Invest has bought more of its spot bitcoin ETF as it continues to dump shares of the largest bitcoin futures fund.&nbsp;



The fund manager’s Ark Next Generation ETF (ARKW) on Thursday bought 365,695 shares of the spot bitcoin ETF it launched last week with 21Shares, according to a trade notification.&nbsp; It sold 758,915 shares of the ProShares Bitcoin Strategy (BITO) from the fund that day.&nbsp;



The move comes after ARKW sold 757,664 of BITO shares on Tuesday, while adding 365,427 shares of the Ark 21Shares Bitcoin ETF (ARKB).&nbsp;



In total, the roughly 730,000 of ARKB shares added — as well as the 1.5 million of BITO shares sold — were each worth roughly $30 million at 10 am ET on Friday morning.&nbsp;



Read more: <a href="https://blockworks.co/bitcoin-etf">Bitcoin ETF Tracker</a>



The <a href="https://blockworks.co/tag/proshares">ProShares</a> fund was the first bitcoin futures ETF in the US. It launched in October 2021 and gained more than $1 billion in assets after two days on the market.&nbsp;



But 10 US spot bitcoin ETFs launched last week following a <a href="https://blockworks.co/news/sec-approves-bitcoin-etf">milestone decision by the US Securities and Exchange Commission</a> — opening up a new access point for BTC exposure.



<a href="https://blockworks.co/news/ark-invest-21shares-gain-edge-bitcoin-etfs">Bloomberg Intelligence analysts predicted</a> last month Ark Invest would offload its position in the Grayscale Bitcoin Trust (GBTC) and ultimately move that capital into ARKB to bolster the fund’s asset base. Flows and volumes are “crucial” to marketing an ETF, they noted at the time.&nbsp;



Ark Invest did just that, first <a href="https://blockworks.co/news/ark-invest-exits-gbtc">replacing sold shares of GBTC</a> with BITO before piling money into their own spot bitcoin ETF.&nbsp;



Read more: <a href="https://blockworks.co/news/blackrock-bitcoin-etf-1b-inflows">BlackRock beats spot bitcoin ETF rivals in race to $1B assets</a>



After five days trading, the Ark 21Shares Bitcoin ETF ranks fourth among spot bitcoin <a href="https://blockworks.co/tag/etfs">ETFs</a>&nbsp; — behind BlackRock, Fidelity and Bitwise — with about $320 million of inflows, according to Bloomberg Intelligence <a href="https://twitter.com/JSeyff/status/1748191264154038714">data</a>.&nbsp;



BITO has seen $272 million of outflows since the spot bitcoin funds launched on Jan. 11, ETF.com data shows.



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

Ark Invest

Ark Invest buys more of its spot bitcoin ETF, sells BITO

Just days following the debut of the first spot bitcoin ETFs, ProShares is prepping other BTC-related offerings.



The firm, however, still has not divulged plans to offer a fund that would hold bitcoin directly.



ProShares is perhaps best known for launching the first bitcoin futures ETF in October 2021. Up until last week, that fund — the ProShares Bitcoin Strategy ETF (BITO) — <a href="https://blockworks.co/news/proshares-bito-2b-aum">was the largest crypto ETF in the US</a>.&nbsp;



The company now seeks to expand its lineup with five new leveraged and inverse bitcoin funds, Tuesday <a href="https://www.sec.gov/Archives/edgar/data/1174610/000168386324000107/f37305d1.htm#xx_f908f213-ea7e-4cd4-9418-1ea475e2c8d0_1">filings</a> show.



Read more: <a href="https://blockworks.co/bitcoin-etf">Bitcoin ETF Tracker</a>



The planned ETFs seek daily investment results, before fees and expenses, that correspond to the daily performance of the Bloomberg Galaxy Bitcoin Index at different levels.



The index is designed to measure the performance of 1 bitcoin (<a href="https://blockworks.co/price/btc">BTC</a>) traded in USD. Bitcoin pricing is sourced from the Bloomberg Bitcoin Crypto Fixing Rate, which was created in May 2018.&nbsp;



The <a href="https://blockworks.co/tag/proshares">ProShares</a> Ultra Bitcoin ETF, for example, would seek results corresponding to two times the daily performance of that benchmark, while the ProShares UltraShort Bitcoin ETF would look to offer exposure equal to two times the inverse of the index.&nbsp;



A so-called Plus Bitcoin ETF and ShortPlus Bitcoin ETF would seek results at 1.5 times and -1.5 times the daily performance of the index, respectively. The planned ProShares Short Bitcoin ETF would seek results equaling the inverse of the benchmark.&nbsp;&nbsp;&nbsp;



The five funds would not invest in bitcoin directly.&nbsp;&nbsp;&nbsp;&nbsp;



ProShares was not among the wave of issuers that collectively launched 10 spot bitcoin <a href="https://blockworks.co/tag/etfs">ETFs</a> last week — <a href="https://blockworks.co/news/sec-approves-bitcoin-etf">the first products of their kind in the US</a>.&nbsp;



Read more: <a href="https://blockworks.co/news/bitcoin-etf-trading-day-3">Spot bitcoin ETF trading volumes hit $1.8B on trading day 3</a>



ProShares Investment Strategist Simeon Hyman called the bitcoin futures market “mature, liquid and regulated,” during a Bloomberg TV interview. “There are a lot of things we don’t know about the spot market,” he added.



A company spokesperson did not immediately comment further.



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

bitcoin etf

ProShares preps slate of bitcoin ETFs — but not a spot fund

Several crypto ETF firsts in 2023 have perhaps been overshadowed by the unresolved spot bitcoin ETF saga.



<a href="https://blockworks.co/news/leveraged-btc-futures-etf-debut">Volatility Shares launched the first leveraged bitcoin futures ETF</a> in the United States. The US Securities and Exchange Commission <a href="https://blockworks.co/news/ether-futures-etfs-vaneck-proshares-bitwise-offerings">also gave ether futures funds the green light</a> — two years to the month after the first BTC futures ETFs hit the market.&nbsp;



While Volatility Shares’ 2x Bitcoin Strategy ETF (BITX) has grown to roughly $170 million in assets, the initial interest in ether futures ETFs has <a href="https://blockworks.co/news/ether-futures-etfs-opening-week-underwhelming">left many underwhelmed</a>.&nbsp;



<a href="https://blockworks.co/news/ether-futures-etfs-vaneck-proshares-bitwise-offerings">The six ether futures ETFs that launched on Oct. 2</a> had combined assets under management of about $34 million, as of Dec. 20. The Valkyrie Bitcoin and Ether Strategy ETF (BTF), which changed its investment strategy to include investments in ether futures contracts at that time, has had flat net flows since then, according to ETF.com data.



As for crypto funds seeing investor interest of late, the first and largest bitcoin futures ETF — the ProShares Bitcoin Strategy ETF (BITO) — saw its assets under management peak at $1.7 billion earlier this month, according to YCharts <a href="https://ycharts.com/companies/BITO/assets_under_management#:~:text=BITO%20Share%20Class%20Assets%20Under%20Management%3A%201.401B%20for%20Nov,22%2C%202023">data</a>.



But Bloomberg Intelligence analyst Eric Balchunas said on Bloomberg TV last month there could be an “exodus” of assets from BITO when spot bitcoin ETFs are approved.&nbsp;&nbsp;



Funds that hold bitcoin directly — proposed by a range of fund groups over the past decade — have not yet gained the regulatory go-ahead, however.



The SEC is also considering <a href="https://blockworks.co/news/21shares-ark-filing-for-spot-ether-etf">planned spot ether ETFs</a> — another 2023 development currently taking a back seat to the bitcoin ETF race.



Read more: <a href="https://blockworks.co/news/sec-defers-ether-etf-decision">With all eyes on bitcoin ETF decision, SEC kicks ether can down the road</a>



As investors await a ruling on spot ETFs, some have more recently turned to funds investing in blockchain- and crypto-related stocks.



<a href="https://blockworks.co/news/crypto-product-inflow-streak-ends">Such funds had seen record weekly inflows in the first half of December</a>, according to CoinShares data. The Amplify Transformational Data Sharing ETF (BLOK) has been the main beneficiary, notching $267 million of net inflows from Dec. 1 to Dec. 20, according to ETF.com.



<h2 class="wp-block-heading">Spot bitcoin ETF saga coming to a head?</h2>



The list of issuers trying to launch a spot bitcoin ETF continues to grow, with <a href="https://blockworks.co/news/bitcoin-etf-environmental-impact">Tidal Investments and 7RCC filing for a fund</a> that would hold BTC and carbon credit futures contracts.



The SEC’s deadline to rule on a spot bitcoin ETF proposal by Ark Invest and 21Shares is Jan. 10. The regulator <a href="https://blockworks.co/news/pinning-down-bitcoin-etf-approval-dates">could choose to approve or deny other similar funds</a> — including those from traditional finance giants BlackRock and Fidelity — at that time.&nbsp;



Read more: <a href="https://blockworks.co/news/spot-btc-etf-applicants-status-update">Lucky 13? Where spot bitcoin ETF proposals stand ahead of judgment day</a>



Fund firms have been meeting with SEC officials in recent weeks to discuss their planned bitcoin funds. <a href="https://blockworks.co/news/blackrock-etf-team-meetings-sec">BlackRock has had five such meetings</a>, including one on Tuesday. Grayscale, which <a href="https://blockworks.co/news/grayscale-bitcoin-etf-milestone">continues trying to convert its Bitcoin Trust (GBTC) to an ETF</a> after its <a href="https://blockworks.co/news/grayscale-sec-spot-bitcoin-etf#">August court win against the SEC</a>, also <a href="https://www.sec.gov/comments/sr-nysearca-2021-90/srnysearca202190-318479-829622.pdf">met</a> with the regulator this week.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">BlackRock and Grayscale in a battle to see who can clock more SEC meetings. I think it&#39;s like 5-4 BlackRock. Poss foreshadow of the asset/volume battle a year from now.. <a href="https://t.co/LXjfm0b0hu">https://t.co/LXjfm0b0hu</a>&mdash; Eric Balchunas (@EricBalchunas) <a href="https://twitter.com/EricBalchunas/status/1737551442012250422?ref_src=twsrc%5Etfw">December 20, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



A topic of conversation has been <a href="https://blockworks.co/news/sec-engages-bitcoin-etf-proposals">in-kind and cash creation and redemption models</a> for the funds, according to meeting memorandums.&nbsp;



Grayscale <a href="https://twitter.com/JSeyff/status/1737558887086108959">appears</a> to be arguing in-kind transactions are more efficient, but acknowledged not all authorized participants can facilitate them for bitcoin funds — suggesting that spot bitcoin ETFs should offer both models.&nbsp;&nbsp;



Bloomberg Intelligence analysts continue to put the chance of spot bitcoin ETF approval by Jan. 10 at 90% amid the continuous meetings and application amendments.



The ongoing discussions between the SEC and those vying to launch such products support the “base case” of Compass Point &amp; Research that the regulator will OK bitcoin ETFs next month, analysts Chase White and Joe Flynn said in a Dec. 15 research note.



“However, with meetings still happening and the holidays coming up, we think there’s a chance the SEC isn’t quite ready to approve ETFs in early [January] and will ask Ark Invest/21Shares…to refile the application to give the SEC more time, rather than reject it outright,” they added.&nbsp;



Neena Mishra, director of ETF research at Zacks Investment Research, previously told Blockworks that if spot bitcoin <a href="https://blockworks.co/tag/etfs">ETFs</a> are approved, “the debut of ether spot ETFs would not be far behind.”



<h2 class="wp-block-heading">Expected big impact for BTC funds</h2>



Segment observers expect that spot bitcoin ETFs would see significant investor interest if allowed to launch, which in turn could spur BTC’s price to jump.



Bitwise Chief Investment Officer Matt Hougan said <a href="https://blockworks.co/news/bitwise-cio-blackrock-btc-etf">during a webinar</a> in August that his firm estimates that US spot bitcoin ETFs could attract $55 billion in net flows in their first five years on the market.



Galaxy Digital research associate Charles Yu said in an October <a href="https://www.galaxy.com/insights/research/sizing-the-market-for-a-bitcoin-etf/">report</a> that a projected $14.4 billion of year-one inflows into spot bitcoin ETFs could cause the price of bitcoin to increase by 74% in the 12 months following approval.&nbsp;&nbsp;&nbsp;



Yu’s research <a href="https://blockworks.co/news/bitcoin-spot-etf-analysts-gold">analyzed the impact gold ETFs had on the precious metal’s price</a>.



In the shorter term, VanEck research analysts predict spot bitcoin ETFs could see $1 billion of inflows in their first few days and roughly $2.4 billion within a quarter.



Samir Kerbage, chief investment officer at Hashdex, said in a webinar earlier this month that he too expects between $1 billion and $10 billion to flow into such products in the first few weeks and months. The size of spot bitcoin ETFs would then be set to “grow exponentially” in the coming years, he added.



Read more: <a href="https://blockworks.co/news/approved-spot-bitcoin-etf-launch-size">An approved spot bitcoin ETF could be ‘one of the largest launches in history’</a>



“People may be overestimating the short-term impact of a bitcoin ETF being approved in the US,” he said. “And I think they are underestimating the long-term effect.”



“Once you have regulatory clarity from the most respected and largest securities regulator on the planet that this is something investment funds can have in their portfolio, that RIAs could start [getting] into or exchanges can list trusts…that’s going to be big validation for bitcoin,” he added.



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

bitcoin halving

A look at crypto ETF milestones in 2023 — and where spot bitcoin funds stand

Crypto investment products continue to notch inflows, marking a 10-week stretch with asset injection not seen in more than two years.&nbsp;



Such offerings brought in $176 million last week, according to a Monday CoinShares report — down from $346 million the week prior.



<figure class="wp-block-image size-large is-resized"><img loading="lazy" decoding="async" width="1312" height="1348" src="https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=1024&amp;h=1024" alt="" class="wp-image-74915" style="aspect-ratio:0.9736328125;width:654px;height:auto" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=1312 1312w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=292 292w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=997 997w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=250 250w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=254 254w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=213 213w, https://blockworks-co.imgix.net/wp-content/uploads/2023/12/CoinShares-Flow-Report-12_4_23.jpg?w=78 78w" sizes="auto, (max-width: 1312px) 100vw, 1312px" /><figcaption class="wp-element-caption">Source: CoinShares</figcaption></figure>



Still, these products have brought in $1.76 billion total over the active 10-week inflow streak. This is the best stretch since October 2021. That month marked the launch of bitcoin futures ETFs, including the ProShares Bitcoin Strategy ETF (BITO) that <a href="https://blockworks.co/news/bito-on-track-to-be-first-fund-in-history-to-hit-1b-in-aum-in-two-days">quickly grew to having more than $1 billion</a> in assets under management.



Interest in BITO has picked up in recent months as <a href="https://blockworks.co/news/21shares-bitcoin-etf-approval-incoming">optimism around the potential approval of spot bitcoin ETFs</a> persists. 



Read more: <a href="https://blockworks.co/news/pinning-down-bitcoin-etf-approval-dates">Industry watchers pin down possible bitcoin ETF approval dates</a>



The futures-based fund has seen net inflows of $270 million since Nov.1, according to ETF.com — <a href="https://blockworks.co/news/proshares-bito-reaches-asset-peak">hitting an asset peak of $1.47 billion last week</a>.&nbsp;



ProShares products accounted for roughly $39 million of the crypto product inflows last week, the CoinShares <a href="https://blog.coinshares.com/volume-160-digital-asset-fund-flows-weekly-report-3523bcc12d66">data</a> shows. Canada-based Purpose Investments was the only provider that tallied more inflows, seeing about $50 million.&nbsp;



Bitcoin-related investment offerings accounted for $133 million of the $176 million of crypto product inflows last week as the asset’s price has continued to rally.&nbsp;



The BTC price stood at roughly $41,600 at noon on Monday in New York — up 13% from seven days ago. Bitcoin’s price <a href="https://blockworks.co/news/bitcoin-price-bull-market-compare">briefly eclipsed $42,000 Monday morning</a>.&nbsp;



The recent surge in bitcoin&#8217;s price can be attributed to several factors, according to Deribit Chief Commercial Officer Luuk Strijers. In a statement, Strijers highlighted “easing concerns following the settlement of Binance&#8217;s legal matters, escalating geopolitical tensions, easing of inflation, and the steady increase in institutional engagement.” This comes alongside the anticipation of a positive SEC decision on proposed spot bitcoin ETFs, he added.



Ether-related products made up $31 million of last week’s net inflows, while blockchain equities saw a seventh straight week of positive flows. The latter product segment brought in $17 million last week, the largest since July 2022.



<a href="https://blockworks.co/news/bitcoin-ether-trading-stock-markets">Crypto-related stock prices jumped Monday morning</a>. Coinbase and MicroStrategy were up about 6% and 7%, respectively, on the day, as of 12 pm ET. Crypto miners Marathon Digital Riot Platforms each had notched daily stock price gains of roughly 8.5% at that time.&nbsp;



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

BITO

Crypto product inflow streak hits 10 weeks before BTC climbed to $42k

The first and largest bitcoin futures ETF is the biggest it’s ever been.&nbsp;



The ProShares Bitcoin Strategy ETF (BITO) reached $1.47 billion assets under management on Tuesday — its highest mark ever.



BITO had <a href="https://blockworks.co/news/bito-on-track-to-be-first-fund-in-history-to-hit-1b-in-aum-in-two-days">quickly grown above $1 billion in assets</a> after launching in October 2021, reaching as high as $1.42 billion in assets the following month, according to YCharts.com.&nbsp;



But the fund’s assets had sunk to as low as about $500 million in November 2022 amid the <a href="https://blockworks.co/news/ftx-meltdown-timeline">collapse of crypto exchange FTX</a> — an event that spurred bitcoin price declines.&nbsp;



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1694" height="710" src="https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=1024&amp;h=1024" alt="" class="wp-image-74641" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=1694 1694w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2023/11/BITO-AUM-CHART.jpg?w=80 80w" sizes="auto, (max-width: 1694px) 100vw, 1694px" /><figcaption class="wp-element-caption">BITO AUM chart (source: <a href="https://ycharts.com/companies/BITO/assets_under_management#:~:text=BITO%20Share%20Class%20Assets%20Under%20Management%3A%201.401B%20for%20Nov,22%2C%202023">YCharts</a>)</figcaption></figure>



Its assets under management stood at $850 million as recently as Oct. 12, the YCharts data <a href="https://ycharts.com/companies/BITO/assets_under_management#:~:text=BITO%20Share%20Class%20Assets%20Under%20Management%3A%201.401B%20for%20Nov,22%2C%202023">shows</a>. The fund has seen net inflows of $202 million since that date, according to ETF.com.&nbsp;



Other crypto investment products have seen inflows of late. These products brought in roughly $350 million last week, <a href="https://jbutterfill.medium.com/volume-159-digital-asset-fund-flows-weekly-report-0103828f4a3d">according</a> to CoinShares — the ninth consecutive week of positive flows.&nbsp;



Market appreciation has also contributed to BITO’s asset rise. Bitcoin’s (<a href="https://blockworks.co/price/btc">BTC</a>) price was about $37,750 at 11:30 am ET on Wednesday — up about 130% from a year ago, and roughly 9% in the last 30 days.



Read more: <a href="https://blockworks.co/news/bitcoin-price-mirrors-2012-halving">Bitcoin flirts with breakout, price mirrors lead-up to 2012 halving</a>



<a href="https://blockworks.co/tag/proshares">ProShares</a> investment strategist Simeon Hyman said in a statement that BITO’s asset peak “speaks to the demand for a familiar, accessible and regulated way to target the returns of bitcoin.”



<a href="https://blockworks.co/tag/bito">BITO’s</a> average daily trading volume of $160 million puts it in the top 5% of all US <a href="https://blockworks.co/tag/etfs">ETFs</a>, Hyman added.&nbsp;



But the fund could soon have more competition, as many industry watchers expect the US Securities and Exchange Commission to soon approve ETFs that would hold bitcoin directly — marking a first for the regulator.&nbsp;



<a href="https://blockworks.co/news/sec-decision-date-bitcoin-etf#:~:text=Ark%20Invest%20and%2021Shares%20filed,11.">The SEC’s deadline to rule on such a proposal</a> by Ark Invest and 21Shares is Jan. 10, at which time various segment observers believe the SEC could also greenlight spot bitcoin ETFs from BlackRock, Fidelity, Invesco and others.&nbsp;



Read more: <a href="https://blockworks.co/news/21shares-bitcoin-etf-approval-incoming">Bitcoin ETF saga reaches ‘pattern break’ as amendments pile up</a>



Bloomberg Intelligence analyst Eric Balchunas said during a Nov. 20 segment on Bloomberg TV that BITO’s increase in assets is a bit ironic considering its potential fate.&nbsp;



“This is the ETF that’s probably going to be sort of under pressure, or seeing some exodus, once the spot ETFs come out, because people prefer those,” he said. “But until then, it’s being used in anticipation of those ETFs.”&nbsp;



21Shares president Ophelia Snyder said during a Bloomberg TV interview last week that while she believes spot bitcoin ETFs have “broader appeal,” she doesn’t expect them to make futures-based products obsolete.&nbsp;



Ark Invest and 21Shares 21Shares and Ark Invest <a href="https://blockworks.co/news/spot-crypto-etf-ark-invest-21shares">launched crypto futures ETFs</a> earlier this month.



“I think there’s still a role for futures products to play in this market,” Snyder said. “I think that is a smaller role than what spot will play.”



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

BITO hits asset peak as possible spot bitcoin ETF approval looms

The ongoing amendments to bitcoin ETF proposals by various fund issuers signal an approval could be coming, industry watchers have said.&nbsp;



Ophelia Snyder, the president of bitcoin ETF hopeful 21Shares, said Monday that engagement with regulators indeed has a different feel this time around.&nbsp;



“Right now everyone’s watching this race on a minute-by-minute, day-by-day basis…is it today, tomorrow?” she noted during an interview on Bloomberg TV. “I think that’s a challenging way of looking at this. I think the clearest indication is that we’re in a pattern break.”



The US Securities and Exchange Commission has never allowed a spot bitcoin ETF to come to market — despite repeated attempts by fund issuers over the last decade. 21Shares has been through the process before, <a href="https://blockworks.co/news/ark-files-for-bitcoin-etf">first filing for a spot bitcoin ETF</a> with Ark Invest in 2021.



The <a href="https://blockworks.co/tag/sec">SEC</a> denied the firms’ proposed fund in March 2022 and blocked a second attempt from the companies in January. The two firms then <a href="https://blockworks.co/news/21shares-ark-invest-spot-bitcoin-etf">re-filed for a bitcoin ETF in April</a>.&nbsp;



The way the agency would interact with fund groups looking to launch spot bitcoin ETFs, and on which issues, has historically held steady, Snyder said.&nbsp;



“I think we’re seeing a little bit of a difference there now with people actually providing amendments to documents and providing a little more color on what these products are actually going to look like in the market,” she added. “That’s really positive, because, very candidly, change in behavior might actually result in a change of outcome, and that’s really exciting.”



Read more: <a href="https://blockworks.co/news/bitcoin-etf-price-rally">Is bitcoin’s ETF-fueled rally to $35K premature? Well, maybe</a>



21Shares and Ark Invest <a href="https://www.sec.gov/Archives/edgar/data/1869699/000119312523280262/d549524ds1a.htm">amended</a> its bitcoin ETF proposal for a third time Monday. Other issuers — such as financial giants BlackRock, Fidelity and Invesco — have updated similar applications in recent weeks.&nbsp;



Scott Johnson, a general partner at Van Buren Capital, pointed out “pretty technical updates to the disclosures” in a series of X posts, noting it “seems like there are productive conversations happening with the SEC.”



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">&#8211; This still is &quot;in-kind&quot; creation/redemption, but they&#39;ve introduced Coinbase as prime broker to assist in this process. So APs can simply transfer balances held at the PB to create rather than transfer BTC on-chain.&mdash; Scott Johnsson (@SGJohnsson) <a href="https://twitter.com/SGJohnsson/status/1726655292312825880?ref_src=twsrc%5Etfw">November 20, 2023</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



The amendment notes a “sponsor fee” of 0.80% — offering a glimpse at what the fund could cost for investors.&nbsp;&nbsp;



“We really did expect these to price a bit higher than what you would see from a more traditional ETF…because there is quite a bit of incremental infrastructure and expertise baked in here,” Snyder said.&nbsp;&nbsp;



The futures-based ProShares Bitcoin Strategy ETF (<a href="https://blockworks.co/tag/bito">BITO</a>), which is currently the largest crypto ETF in the US, carries an expense ratio of 95 basis points.



BITO has seen net inflows of $207 million so far in November, according to ETF.com, as its assets under management now stand at roughly $1.4 billion.&nbsp;&nbsp;



21Shares and Ark Invest <a href="https://blockworks.co/news/spot-crypto-etf-ark-invest-21shares">launched its own suite of crypto futures ETFs</a> last week.&nbsp;



“I think you’re going to see quite a bit more interest in these products than futures [ETFs], especially over the medium term,” Snyder said of spot bitcoin funds. “I think the combination of better access and, quite frankly, really interesting developments in the underlying technology are coinciding for a potential changed market outlook.”



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

21Shares

Bitcoin ETF saga reaches ‘pattern break’ as amendments pile up

It’s been a month since the first ether futures ETFs hit the US market, and demand for such products has remained relatively sparse.



Another ether-related fund offering looking to give investors short exposure to the asset — also via futures contracts — launched Thursday.&nbsp;



The lack of interest in the previously launched ether futures ETFs could signal investors are awaiting spot exposure to ETH — something the Securities and Exchange Commission might be pressured to allow as early as next May.



<a href="https://blockworks.co/news/ether-futures-etfs-vaneck-proshares-bitwise-offerings">Six ETFs holding ether futures launched on Oct. 2</a>. About a month later, those funds have roughly $20 million in combined assets under management. The Valkyrie Bitcoin and Ether Strategy ETF (BTF), which changed its investment strategy to include investments in ether futures contracts — effective Oct. 3 — has had flat net flows since then.



Segment observers have pointed to the macroeconomic environment as a reason for the initial relative neglect of ether futures ETFs. Its bitcoin futures predecessor — the ProShares Bitcoin Strategy ETF (BITO) — that saw <a href="https://blockworks.co/news/bito-on-track-to-be-first-fund-in-history-to-hit-1b-in-aum-in-two-days">much higher demand when it launched two years ago</a> came to market amid a bull run, others have noted.&nbsp;



Read more: <a href="https://blockworks.co/news/ether-futures-etfs-opening-week-underwhelming#">Underwhelming: week-one demand stays soft for ETH futures ETFs</a>&nbsp;



BITO, which gained $1 billion in assets under management just days after launching, has average daily volumes of about 9.4 million shares, according to Yahoo Finance data. The ProShares Ether Strategy ETF (EETH) has averaged roughly 8,660 shares per day in its first month.



Unlike BITO, which launched on its own, the “batch approval” of half a dozen ether futures ETFs by VanEck, ProShares and Bitwise, may have also hurt their debuts, according to Bloomberg Intelligence analyst James Seyffart.



“If you look at BITO, more volume begets volume, so it was just constantly feeding on itself,” Seyffart said during an ETF Prime <a href="https://etfprime.com">podcast</a> last month. “And here we had a bunch of different ETFs listed on the same day, so there was no snowball effect.”



The ProShares Short Ether Strategy ETF (SETH) launched Thursday, a company spokesperson told Blockworks. That fund seeks daily investment results that correspond to the inverse of the daily performance of the S&amp;P CME Ether Futures Index.



As optimism around the potential approval of spot bitcoin ETFs continues to ramp up, various industry watchers expect that funds holding ether directly could follow in short order.&nbsp;



“Once spot bitcoin ETFs are approved, and given that the <a href="https://blockworks.co/tag/sec">SEC</a> has allowed CME-traded ether futures ETFs…you combine that with Grayscale’s court victory, spot ether ETFs should be right around the corner,” Nate Geraci, president of The ETF Store, said alongside Seyffart on the podcast.



Ether futures ETFs would essentially become “obsolete” once spot ether ETFs are approved, Geraci argued.&nbsp;



<h2 class="wp-block-heading">A look at the deadlines</h2>



<a href="https://blockworks.co/news/sec-decision-date-bitcoin-etf">The SEC has until Jan. 10</a> to rule on a proposed spot bitcoin ETF by Ark Invest and 21Shares.&nbsp;



A decision on spot ether funds could come about four months later, Seyffart said.



<a href="https://blockworks.co/news/21shares-ark-filing-for-spot-ether-etf">Ark Invest and 21Shares shared their intention to launch a spot ether ETF</a> in a Sept. 6 <a href="https://www.sec.gov/Archives/edgar/data/1992508/000119312523229449/d450565ds1.htm">filing</a>.&nbsp; VanEck, which first applied for a spot ether ETF in 2021, renewed its effort to offer such a fund the same day.&nbsp; &nbsp;



<a href="https://blockworks.co/news/grayscale-eth-trust-ethe-filing-vaneck-proshares">Grayscale Investments moved on Oct. 2</a> to convert its Ethereum Trust into a spot ether fund. &nbsp; Hashdex and Invesco also have filings in front of the SEC to launch products that would hold ETH directly.&nbsp;&nbsp;



The SEC has 240 days — from the time the proposals are published in the federal register — to rule on these products. Plans for the VanEck Ethereum ETF and the ARK 21Shares Ethereum ETF hit the federal register on <a href="https://www.federalregister.gov/documents/2023/09/26/2023-20813/self-regulatory-organizations-cboe-bzx-exchange-inc-notice-of-filing-of-a-proposed-rule-change-to">Sept. 26</a> and <a href="https://www.federalregister.gov/documents/2023/09/27/2023-20959/self-regulatory-organizations-cboe-bzx-exchange-inc-notice-of-filing-of-proposed-rule-change-to-list">Sept. 27</a>, respectively, setting up an ultimate deadline for the SEC in May.&nbsp;



“I think they’re going to happen,” Seyffart said. “Assuming we do get a spot bitcoin ETF and we are right about that, I think the SEC will be very hard-pressed to find a way to deny spot Ethereum ETFs.”



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

Another ether ETF launches — where do the rest stand?

After a bitcoin rally brought the asset’s price above $35,000 late Monday, trading volumes for the first and largest US bitcoin futures fund soared Tuesday.&nbsp;&nbsp;&nbsp;



The ProShares Bitcoin Strategy ETF (BITO) — the first US fund to hold bitcoin futures contracts — saw volumes amounting to 21.1 million shares on Monday, up from its average volumes of about 8 million shares.&nbsp;



That number rose Tuesday, as 32.5 million shares of BITO had traded as of 2:30 pm ET, according to Nasdaq data. BITO’s price was $17.20 at that time, making the volumes’ value worth roughly $557 million on the day so far.&nbsp;



The ETF’s Tuesday volumes were poised to easily surpass the 33.5 million shares traded on Oct. 16. That day, bitcoin (<a href="https://blockworks.co/price/btc">BTC</a>) quickly jumped from about $28,000 to $30,000 <a href="https://blockworks.co/news/btc-price-spot-bitcoin-etf">after an erroneous media report</a> suggested the US Securities and Exchange Commission had approved BlackRock’s spot bitcoin ETF. 



The volumes seen during those two days in October are the most since Aug. 29. The ETF saw volumes of 58.3 million shares that day — reflecting optimism after <a href="https://blockworks.co/news/grayscale-sec-spot-bitcoin-etf">Grayscale Investments’ court victory against the SEC</a>.&nbsp;&nbsp;



The high volumes early this week coincide with a bitcoin rally that appears to be in part spurred by optimism of spot bitcoin ETF approval.&nbsp;



Read more: <a href="https://blockworks.co/news/bitcoin-etf-price-rally">Is bitcoin’s ETF-fueled rally to $35K premature? Well, maybe</a>



Fund issuers have been updating bitcoin ETF applications in recent weeks — moves industry watchers say signal continued dialogue with the SEC. Grayscale said Monday the firm intends “to move as expeditiously as possible” in its quest to convert its Bitcoin Trust (GBTC) to an ETF after <a href="https://blockworks.co/news/grayscale-sec-gbtc-etf">the court formalized its legal victory</a> over the regulator.&nbsp;



Additionally, BlackRock’s planned iShares Bitcoin Trust (IBTC) was <a href="https://blockworks.co/news/blackrock-ishares-bitcoin-etf">listed on the Depository Trust and Clearing Corporation (DTCC) website</a> Monday before <a href="https://blockworks.co/news/blackrock-ibtc-bitcoin-etf">being taken off the list Tuesday</a>.&nbsp;



Gabor Gurbacs, director of digital assets strategy at fund group VanEck, said in a Tuesday X <a href="https://twitter.com/gaborgurbacs/status/1716851557038272931">post</a> that he doesn’t view the removal of IBTC from the DTCC website as bearish.



“Things are chugging along with arguably increased momentum,” he wrote. “Discussions happening. Questions are answered. Problems are being solved. To me it&#8217;s all directionally good news and the right type of industry and regulatory collaboration.”



Other bitcoin-linked ETFs saw increased interest amid the rally, with Volatility Shares’ 2x Bitcoin Strategy ETF (BITX) notching Tuesday volumes of more than 800,000 shares as of 2:30 pm ET, Nasdaq data shows.&nbsp;



BITX volumes have reached 1 million shares just three times <a href="https://blockworks.co/news/leveraged-btc-futures-etf-debut">since its June launch</a>, including on Oct. 16.



Volumes for the ProShares Short Bitcoin Strategy ETF (BITI) also spiked Tuesday, reaching 4 million shares with a couple hours left before market close — its highest level since Aug. 29.&nbsp;



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

BITO volumes soar Tuesday in midst of BTC price rally

<div id="highlights-block_62b0c1e09a8ea" class="highlights">
 <ul>
 <li>ProShares launched the first bitcoin futures ETF in the US in October</li>
 <li>Horizons ETFs Management’s BetaPro Inverse Bitcoin ETF on the Toronto Stock Exchange is up roughly 80% year to date</li>
 </ul>
 
</div>



Looking to profit from an extended downturn in cryptocurrency markets, an ETF that bets against bitcoin is set to start trading Tuesday in the US.



Run by fund issuer ProShares, the Short Bitcoin Strategy ETF (BITI) is designed to deliver the inverse of the performance of the S&amp;P CME Bitcoin Futures Index via bearish bitcoin futures. The company is dubbing it the first short-bitcoin ETF in the US.



The company is also set to launch a mutual fund, the Short Bitcoin Strategy ProFund (BITIX). Neither fund will invest in bitcoin or other cryptocurrencies directly.



The launches come as bitcoin traded just below the key resistance level of $20,000 on Monday at 2:30 pm ET, reflecting a drop of nearly 60% so far this year — and about 30% in the last month.



“As recent times have shown, bitcoin can drop in value,” ProShares CEO Michael Sapir said in a statement. “BITI affords investors who believe that the price of bitcoin will drop with an opportunity to potentially profit or to hedge their cryptocurrency holdings.”



Canada-based Horizons ETFs Management launched the <a href="https://www.horizonsetfs.com/ETF/BITI" target="_blank" rel="noreferrer noopener">BetaPro Inverse Bitcoin ETF</a> on the Toronto Stock Exchange in April 2021. The fund, which has $45 million in assets, was up roughly 80% year to date.



“This ETF isn’t exactly launching at the best time, given that bitcoin has already experienced significant carnage,” said Nate Geraci, president of The ETF Store, of the ProShares offering. “That said, I expect this product to find an audience among traders looking to play the high-volatility nature of bitcoin.”



Sapir said the company now allows investors to express their view on the direction of bitcoin in more ways than one.



The ETF issuer, which manages about $56 billion, was the first in the US to bring to market an ETF focused on bitcoin futures. The ProShares Bitcoin Strategy ETF (BITO), which launched last October, gathered roughly $1 billion in assets within <a href="https://cms.blockworks.co/first-bitcoin-futures-etf-nears-1b-on-first-day-of-trading/" target="_blank" rel="noreferrer noopener">its first day of trading</a>. The fund is down about 30% in the last 30 days and 56% since the beginning of 2022. 



Amplify Investments’ Transformational Data Sharing ETF (BLOK), the largest blockchain ETF in the US with about $540 million in assets, is down 54% so far this year and about 15% in the past month.



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Get the news in your inbox. Explore Blockworks newsletters:



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown">The Breakdown</a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch">0xResearch</a>: Alpha in your inbox. Think like an analyst. </li>
</ul>

Bitcoin

ProShares To Launch First US ETF That’s Bearish on Bitcoin

<div id="highlights-block_61a547b87f773" class="highlights">
 <ul>
 <li>The Ethereum network will be an integral part of our lives going forward, says Kelly Intelligence’s founder and CEO </li>
 <li>VanEck and ProShares had revealed plans in August to launch Ethereum futures products but subsequently withdrew the applications</li>
 </ul>
 
</div>



Kelly Intelligence is looking to launch an Ethereum futures ETF a little more than a month after the first bitcoin futures ETFs hit the US market.&nbsp;



The Denver-based firm’s proposed actively managed fund would invest in cash-settled ether futures contracts traded on commodity exchanges registered with the Commodity Futures Trading Commission (CFTC), according to <a href="https://www.sec.gov/Archives/edgar/data/1873280/000089418921008363/kellyethereumfuturesetf485.htm">a regulatory disclosure</a> filed on Monday.&nbsp;&nbsp;



The only such exchange to offer these contracts is the Chicago Mercantile Exchange (CME), which rolled out ether futures contracts earlier this year after unveiling bitcoin futures contracts in December 2017.&nbsp;



CME earlier this month announced that it would <a href="https://cms.blockworks.co/cme-group-plots-launch-of-micro-ether-futures/">add micro ether futures</a> — sized at one-tenth of one ether — on Dec. 6.&nbsp;



CME Group executives said at the time that the micro ether futures offering would provide an efficient, cost-effective way for individual and institutional investors to hedge their ether price risk or more nimbly execute ether trading strategies. The plans came as liquidity in ether futures contracts has steadily grown among institutional traders since their launch in February, the CME leaders added.



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">“Kelly Intelligence’s interest in ether is predicated on the fact that we are at the start of the fourth industrial revolution &#8211; what we call the intelligence revolution — where the Ethereum network will be an integral part of our lives going forward,” Kevin Kelly, the firm’s founder and CEO, told Blockworks in an email.</blockquote>



Kelly declined to comment specifically on the filing or potential conversations the firm has had with regulators.&nbsp;



The planned Kelly Ethereum Ether Strategy ETF may replace futures contracts approaching expiration with similar contracts that have a later expiration, the filing notes.



In addition to ether futures contracts, the fund may invest in pooled investment vehicles and exchange-traded products that provide exposure to ether. It would not invest in ether or other digital assets directly.



Penserra Capital Management is slated to subadvise the fund. The filing does not indicate an expense ratio for the proposed offering.



<h3 class="wp-block-heading">Bitcoin futures ETFs</h3>



The filing follows the launch of several bitcoin futures ETFs. The first of which, the ProShares Bitcoin Strategy ETF (BITO), has grown to roughly $1.4 billion in assets under management since its Oct. 19 debut. The US Securities and Exchange Commission (SEC) has not yet greenlit ETFs that would invest in bitcoin directly.



VanEck and ProShares had revealed plans in August to launch <a href="https://cms.blockworks.co/vaneck-and-proshares-apply-for-ethereum-futures-etfs/">Ethereum futures products</a> but subsequently <a href="https://cms.blockworks.co/vaneck-proshares-seek-to-withdraw-requests-to-launch-ethereum-etfs/">withdrew the applications</a>. Some industry professionals said at the time that the SEC likely told the issuers that such products would not be approved any time soon.



Trey Griggs, CEO for GSR’s US business, <a href="https://cms.blockworks.co/when-could-an-ethereum-futures-etf-hit-the-us-market/">told Blockworks last month</a> that he believed Ethereum had sufficient trading history for the SEC to approve a futures-based product. But the market for ether futures is likely not liquid enough to support the volume of inflows that an ETF could trigger, Noelle Acheson, head of market insights at Genesis, said at the time.&nbsp;



Bloomberg Intelligence ETF Analyst James Seyffart said in October that an Ethereum futures-based ETF could launch sometime in the first half of 2022, noting that he believes one will launch before a spot bitcoin ETF.&nbsp;

Kelly Intelligence Plans Ethereum Futures ETF

Casey Wagner

<div id="highlights-block_617067515024e" class="highlights">
 <ul>
 <li>SPDR Gold Shares (ticker GLD), which many are comparing with BITO, hit $1 billion AUM in three days after its launch in 2004</li>
 <li>America’s first bitcoin futures-based ETF surpassed $1 billion in trade volume four hours into the session on Wednesday</li>
 </ul>
 
</div>



Four hours into the trading session on its second day listed, America’s first-ever bitcoin futures exchange-traded fund, the ProShares Bitcoin Strategy Fund (<a href="https://www.cnbc.com/quotes/BITO" target="_blank" rel="noreferrer noopener">BITO</a>), surpassed $1 billion in volume.&nbsp;



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">“The ProShares Bitcoin Strategy ETF is now one of the most successful launches in ETF history. The initial demand for this ETF is off-the-charts and has exceeded even the most optimistic expectations,” said Nate Geraci, president of the ETF Store. “It’s clear investors and advisors were craving bitcoin price exposure in their traditional brokerage accounts and IRAs.”</blockquote>



If ProShares converts 43% of Wednesday’s volume into assets — it already converted 57% on Tuesday — it will be the first fund in history to reach $1 billion in assets under management in two days.



SPDR Gold Shares (ticker GLD), which many are comparing with BITO, hit $1 billion AUM in three days after its launch in 2004.&nbsp;



The fund’s demand has pushed the world’s largest digital currency to a <a href="https://cms.blockworks.co/etfs-fuel-bitcoin-rally-70k-on-the-horizon/" target="_blank" rel="noreferrer noopener">new all-time high</a> of more than $66,000 Wednesday.&nbsp;



“The futures on which the ETF is based started trading in 2017, and bitcoin ripped into that event. It topped out at $19,000 but wouldn’t see that level again for 3 years,” said Nicholas Colas, co-founder of DataTrek Research. “Yes, it is 3x that price now, but December 2017’s bitcoin buyers had to live through a lot of pain to see the promised land.”&nbsp;



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">Early options activity for <a href="https://twitter.com/search?q=%24BITO&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$BITO</a> show extreme bullishness, altho hardly a shocker. <a href="https://t.co/nXfWkResHF">https://t.co/nXfWkResHF</a>&mdash; Eric Balchunas (@EricBalchunas) <a href="https://twitter.com/EricBalchunas/status/1450855340094992389?ref_src=twsrc%5Etfw">October 20, 2021</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Investors and analysts are awaiting filings from two other issues expected to launch their own futures-based funds in the coming days.&nbsp;



VanEck submitted its <a href="https://www.sec.gov/ix?doc=/Archives/edgar/data/0001137360/000113736021000916/ck0001137360-20201231.htm" target="_blank" rel="noreferrer noopener">post-effective amendment filing</a> Wednesday and hinted at a launch day of next week.&nbsp;



VanEck’s Bitcoin Strategy ETF will be available “as soon as practicable&#8221; after this coming Saturday, October 23, making Monday, October 25, a plausible date, according to the filing.



Valkyrie’s fund, which some analysts originally thought would launch alongside ProShare’s product, may list on the Nasdaq as early as Thursday. The issuer has <a href="https://www.sec.gov/edgar/browse/?CIK=1877493" target="_blank" rel="noreferrer noopener">not yet filed</a> its post-effective amendment.&nbsp;



BITO was trading <meta charset="utf-8">at $43.51, up 3.74%, at press time.&nbsp;

BITO

Newsletter

Blockworks Research