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![Crypto ETF Race Heats Up in 2021- Valkyrie Bitcoin Trust Files to List Shares on NYSE](https://news.bitcoin.com/wp-content/uploads/2021/01/crypto-etf-race-heats-up-in-2021-valkyrie-bitcoin-trust-files-to-list-shares-on-nyse-768x432.jpg)
2021 has been an explosive year for bitcoin as the crypto asset has touched new all-time price highs as cryptocurrencies have seen increased demand. Meanwhile, a number of crypto proponents expect the first exchange-traded fund (ETF) to be approved this year as a number of firms are racing to launch an ETF. On Friday, the Texas-based firm Valkyrie Digital Assets filed an ETF registration proposal called the Valkyrie Bitcoin Trust with hopes to list the fund on the New York Stock Exchange (NYSE).
Crypto Proponents Expect a Bitcoin Exchange-Traded Fund Approval in the US This Year
This year just might be the year when U.S. regulators approve a bitcoin (BTC)-based exchange-traded fund (ETF) thatâs hosted on a major stock exchange. For instance, in December, news.Bitcoin.com reported on Vaneckâs bitcoin-based ETF filing with the U.S. Securities and Exchange Commission (SEC).
This week, Vaneck also filed for another exchange-traded fund called the Digital Asset ETF, which aims to hold equity in companies that generate revenue from cryptocurrency services. Meanwhile, at the same time, Canadian investment fund manager Arxnovum Investments filed for a bitcoin-based ETF with Canadaâs Ontario Securities Commission.
Now another firm has joined the bitcoin ETF race as the Texas-based firm Valkyrie Digital Assets registered for a bitcoin fund on Friday, January 22. Valkyrie notes in the filing that the trust intends to list the shares on NYSE Arca. After the filing was public, crypto proponents discussed the new ETF entry on social media. For example, the crypto CFA James Seyffart, talked about Valkyrieâs ETF registration and he told his 3,800 Twitter followers he expects a bitcoin ETF approval this year.
âAnd thereâs another entrant into the Bitcoin ETF Race,â Seyffart said. Showing a list of all the companies filing for an exchange-traded fund Seyffart further wrote: The current state of the Bitcoin ETF race with a new late entrant. Important Note: No 19b-4âs have been filed as far as I can tell, which are the filings that start that 240-day clock for the SEC to make a decision.â Seyffart added:
Sticking my neck out a bit â I think weâll see a U.S. Bitcoin ETF in 2021 if Gensler is confirmed to run the SEC. The guy is extremely knowledgeable on Blockchain/crypto. He even teaches a class at MIT on the topic. That said, I think you can expect new regulations coming to the crypto space from the SEC. Donât think weâll see outright bans like some bitcoin bears like to claim. But we will definitely see increased scrutiny and regulation as Mike McGlone has also stated.
Valkyrie Insists an ETF Is a Cost-Effective and Convenient Way to Invest in Bitcoin
Valkyrie believes the ETF will give investors a more accessible method of investing in BTC. âThe trustâs purpose is to hold bitcoins, which are a digital commodity based on the cryptographic protocols used by the decentralized, peer-to-peer bitcoin computer network,â the Valkyrie filing states.
The Valkyrie ETF filing stresses that an investment in the trust involves significant risks. Valkyrieâs bitcoin fund registration further emphasizes that the fund may not be suitable for shareholders who cannot accept more risks.
âThe investment objective of the trust is for the shares to reflect the performance of the value of a bitcoin as represented by the index, less the trustâs liabilities and expenses. The shares are designed to provide investors with a cost-effective and convenient way to invest in bitcoin,â the investment firmâs registration adds.
Do you think regulators will approve a bitcoin ETF in 2021? Let us know in the comments section below.
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The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.