Apr 26, 2023
ARK Invest & 21Shares Seek Approval for Spot Bitcoin ETF
Cathie Wood’s ARK Invest and European crypto investment firm 21Shares are pushing forward with their plans to launch a Bitcoin (BTC)-based financial product despite the current regulatory environment in the United States. On April 25, the two companies submitted a request to the U.S. Securities and Exchange Commission (SEC) to approve the creation of a spot Bitcoin exchange-traded fund (ETF).
An ETF allows investors to gain exposure to a particular asset without actually owning the underlying financial product. A spot Bitcoin ETF would enable investors to track BTC’s price in real-time without having to physically hold Bitcoin.
The SEC has previously rejected the pair’s applications for a spot Bitcoin ETF due to concerns about “protecting investors and the public interest” against fraud and manipulation. The regulator has, however, approved a number of Bitcoin Futures ETFs, which expose buyers to the potential future value of BTC.
According to ETF analysts from Bloomberg, it is likely that a spot Bitcoin ETF could become a reality in the U.S. by the middle of this year. Crypto conglomerate Digital Currency Group (DCG) is also seeking to convert its flagship Grayscale Bitcoin Investment Trust (GBTC) into a spot Bitcoin ETF and has sued the SEC for rejecting its proposal. Grayscale’s chief legal officer Craig Salm said in a tweet on Jan. 12 that oral arguments in the case could take place as soon as Q2 2023.
In addition to the ETF, ARK Invest and 21Shares are also exploring options to promote and market Non-Fungible Tokens (NFTs) through their web3 agency. NFTs are digital assets that are stored on the blockchain and can be used to represent real-world or digital assets. They are becoming increasingly popular as a way to promote and sell digital art, music, and other digital assets.
The pair plan to use their web3 agency to help businesses and individuals create and market NFTs. They will also use their agency to help businesses and individuals create and promote NFTs on social media platforms such as Twitter.
ARK Invest and 21Shares are confident that their new financial product and web3 agency will be successful despite the current regulatory environment in the United States. They believe that the combination of their spot Bitcoin ETF and NFT marketing agency will provide investors with a unique opportunity to gain exposure to the crypto and web3 space.
Disclaimer: All investment or financial opinions expressed by MoonLanding Media are not recommendations and are intended for entertainment purposes only. Do your own research prior to making any kind of investment. This article has been generated based on trending topics, has not been fact checked and may contain incorrect information. Please verify all information before relying on it.
