Invesco has re-filed its application for a spot Bitcoin ETF with the Securities and Exchange Commission (SEC). Following in the footsteps of BlackRock and Wisdom Tree. Both of these companies have just filed for similar ETFs. The SEC has previously rejected spot Bitcoin ETF proposals owing to market volatility and manipulation concerns.
Invesco’s re-filing is an attempt to strengthen investor safeguards. The company claims that its platform provides additional security than merely purchasing Bitcoin (BTC) directly. These safeguards include safeguards against insolvency and cyber assaults. Invesco’s goal is to provide a safe investment choice that appeals to US investors. They intend to accomplish this by reducing the risks associated with poorly regulated offshore vehicles.
BlackRock, the world’s largest financial manager, has decided to develop a Bitcoin ETF, sparking increased institutional interest in the cryptocurrency. This action could open the door for more institutional Bitcoin-related financial products to emerge in the future. Because of these recent occurrences, the price of Bitcoin has recently skyrocketed.
JUST IN: 💵 $1.49 trillion Invesco officially reactivates its spot #Bitcoin ETF filing
— Walletor (@walletorapp) June 21, 2023
Previous ETF approvals were contingent on the listing exchange having a surveillance-sharing arrangement in place. This is distinct from laws applicable to the spot market. This precedent, according to Invesco, exists in other markets, such as gold, where the spot market is mainly uncontrolled. Invesco hopes to persuade the SEC that a spot Bitcoin ETF is viable. They intend to accomplish this by emphasizing the need for investor protection and blockchain space regulation.
While the SEC has previously rejected spot Bitcoin ETF petitions, the involvement of BlackRock may result in a different outcome this time. This flurry of applications from large financial companies demonstrates increased interest in cryptocurrency. This is also positive for Bitcoin’s potential acceptability as an investing instrument.
Conclusion
Finally, Invesco’s re-filing for a spot in Bitcoin ETF indicates a shift in institutional attitudes regarding cryptocurrencies. The emphasis on investor protection and regulation is intended to meet SEC concerns. The approval of a spot Bitcoin ETF might pave the path for wider adoption as the regulatory landscape matures. It may also enhance investment prospects in the market for digital assets.
