Skip to main content

Fidelity Applies to Launch Bitcoin ETF Amid Accelerating Institutional Demand for BTC

Fidelity Applies to Launch Bitcoin ETF Amid Accelerating Institutional Demand for BTC

Fidelity has filed with the U.S. Securities and Exchange Commission (SEC) to launch a bitcoin exchange-traded fund (ETF). The ETF will track the price of bitcoin as measured by the performance of the Fidelity Bitcoin Index.

Fidelity Seeks SEC’s Approval Launch a Bitcoin ETF

FD Funds Management, a subsidiary of Fidelity, has revealed that it plans to provide financial backing for a bitcoin ETF called the Wise Origin Bitcoin Trust, CNBC reported. On Wednesday, the company filed a Form S-1, a preliminary registration statement for the fund, with the SEC.

The filing explains that the Wise Origin Bitcoin Trust “is an exchange-traded fund that issues common shares” that will trade on a stock exchange, which has yet to be named, adding:

The Trust’s investment objective is to seek to track the performance of bitcoin, as measured by the performance of the Fidelity Bitcoin Index PR … adjusted for the Trust’s expenses and other liabilities.

The sponsor of the ETF is FD Funds Management while Delaware Trust Company is the trustee. Fidelity Digital Asset Services LLC (FDAS) is the Trust’s custodian and will hold all of the Trust’s BTC on its behalf, the filing describes. The Fidelity Bitcoin Index PR is designed to reflect the performance of bitcoin in U.S. dollars.

According to CNBC, Fidelity confirmed that it filed a prospectus to sponsor a bitcoin ETF. However, the company refrained from offering further comment due to the preliminary nature of the filing.

In an emailed statement, Fidelity wrote that “An increasingly wide range of investors seeking access to bitcoin has underscored the need for a more diversified set of products offering exposure to digital assets,” elaborating:

The digital assets ecosystem has grown significantly in recent years, creating an even more robust marketplace for investors and accelerating demand among institutions.

What do you think about Fidelity launching a bitcoin ETF? Let us know in the comments section below.



from Bitcoin News https://ift.tt/3flAIKS
Labels:

Comments

Post a Comment

Popular posts from this blog

Mt Gox Creditors Updated, Trustee Says Rehabilitation Custodian Is ‘Currently Preparing to Make Repayments’

On August 31, 2022, the Mt Gox trustee Nobuaki Kobayashi explained in a recent letter that the rehabilitation custodian is “currently preparing to make repayments” to Mt Gox creditors. Trustee Updates Mt Gox Creditors — Repayment Date and Exchange Still Unknown Last week speculation and rumors concerning the release of 140K bitcoin ( BTC ) from Mt Gox littered social media platforms and headlines. Bitcoin.com News covered the situation six days ago as a number of people and Mt Gox creditors called the rumors “ fake news .” During that same period of time, a bitcoin whale transferred 10,000 BTC to unknown wallets, and a 2018 annotation , heuristics, and clustering methods show the funds likely originated from the June 2011 Mt Gox hacks. Following the mysterious whale transfer, last Wednesday, Mt Gox published an official update from the court trustee Nobuaki Kobayashi that explains the court is “currently preparing to make repayments” to creditors. Mt Gox creditors have been wait...
Post a Comment
Read more

Fidelity Discusses Bitcoin as Portfolio Insurance — Could Soon Stand in ‘Stark Contrast’ to Path Fiat Currencies Take

Fidelity Digital Assets, a subsidiary of Fidelity Investments, says that bitcoin could be considered portfolio insurance. The firm notes that the cryptocurrency “may soon stand in stark contrast to the path that the rest of the world and fiat currencies may take — namely the path of increased supply, additional currency creation, and central bank balance sheet expansion.” Fidelity Says Bitcoin Could Be Portfolio Insurance Fidelity Digital Assets, a subsidiary of Fidelity Investments, recently published a research study titled “The Rising Dollar and Bitcoin.” The research outlines “how bitcoin could be considered portfolio insurance” as the rising dollar impacts global currency markets. “The strengthening U.S. dollar is wreaking havoc among other countries and may put pressure on the Federal Reserve to soon reverse its tightening monetary actions, something that has precedent based on 1985’s Plaza Accord,” Fidelity explained. In addition, “more monetary debasement may be needed to ...
Post a Comment
Read more

Economists Discuss Russia, China Potentially Developing Gold-Backed Currency That Could Undermine US Dollar

Economists have weighed in on reports that China and Russia may be developing a new gold-backed currency that could undermine the U.S. dollar’s status as the world’s primary reserve currency. Russia and China May Be Developing Gold-Backed Currency Several experts have shared their views on Russia and China potentially creating a new gold-baked currency, Fox Business reported Saturday, emphasizing that China has been buying up huge quantities of gold while Russia was forced off the U.S. dollar due to sanctions imposed on the country following its invasion of Ukraine. The news outlet noted that some experts have cautioned that these moves, along with the closer relationship that has developed between Moscow and Beijing, point to the likelihood of China attempting to launch a gold-backed currency. However, neither Russia nor China has officially confirmed plans for such a currency. Craig Singleton, senior fellow at the Foundation for Defense of Democracies and a former U.S. diplomat,...
Post a Comment
Read more