ProShares files with SEC for Short Bitcoin Strategy ETF

Please fol­low and like us:
Pin Share

Exchange-trad­ed funds (ETFs) issuer ProShares has filed a reg­is­tra­tion state­ment with the Unit­ed States Secu­ri­ties and Exchange Com­mis­sion to list shares of a Short Bit­coin Strat­e­gy ETF.

In a Tues­day fil­ing, ProShares applied with the SEC for an invest­ment vehi­cle that would allow users to bet against Bit­coin (BTC) futures using an exchange-trad­ed fund. Accord­ing to the reg­is­tra­tion state­ment, the Short Bit­coin Strat­e­gy ETF will be based on dai­ly invest­ment results cor­re­spond­ing to the inverse of the return of the Chica­go Mer­can­tile Exchange Bit­coin Futures Con­tracts Index for a day. 

In Octo­ber 2021, ProShares became the first firm to ever launch an exchange-trad­ed fund linked to BTC futures in the Unit­ed States on NYSE Arca under the tick­er BITO. At the time of pub­li­ca­tion, shares are priced at $27.58, hav­ing fall­en more than 4% in the last 24 hours.

Though the SEC has not approved a spot Bit­coin ETF in the Unit­ed States, it gave the green light for invest­ment vehi­cles with expo­sure to BTC futures start­ing in 2021 as well as cryp­to min­ing firms. The reg­u­la­to­ry body reject­ed a sim­i­lar offer­ing from ProShares in 2018, but a fund allow­ing investors to short Bit­coin futures from Hori­zons ETFs Man­age­ment cur­rent­ly trades on the Toron­to Stock Exchange under the tick­er BITI: the BetaPro Inverse Bit­coin ETF.

Relat­ed: Valkyrie Invest­ments‘ Leah Wald on Bit­coin ETFs and the future of dig­i­tal assets

Accord­ing to the SEC, the ProShares fil­ing is a pre­lim­i­nary prospec­tus that is sub­ject to com­ple­tion. The appli­ca­tion sug­gests a pub­lic offer­ing 75 days after fil­ing — June 19 — but the SEC has fre­quent­ly delayed cryp­to ETF appli­ca­tions or opened them up for pub­lic com­ment, an action that also push­es back the dead­line for the reg­u­la­to­ry body to approve or dis­ap­prove list­ing shares.



Source link

Please fol­low and like us:
Pin Share

Leave a Reply

Your email address will not be published. Required fields are marked *