Cryptocurrency asset manager Grayscale has filed an amended Bitcoin exchange-traded fund (ETF) application without listing authorized participant details. This move has raised questions and speculation among industry experts.
The amended filing clarifies that authorized participants in the proposed ETF can only pay and receive cash for shares. However, Grayscale has left the names of its authorized participants blank in the documentation filed with the United States Securities and Exchange Commission (SEC).
Other companies vying to launch the first U.S. Bitcoin ETF products, such as Fidelity, WisdomTree, and Invesco Galaxy, have listed their authorized participants in their filings. Invesco Galaxy selected Virtu and JPMorgan, while WisdomTree and Fidelity listed Jane Street Capital.
Authorized participants are financial institutions or companies that can create and redeem shares of an ETF. Grayscale had previously indicated its intention to list Jane Street and Virtu Financial as its authorized participants.
The omission of authorized participant details by Grayscale has raised questions about their strategy and why they have chosen not to follow the example of other firms. The SEC has expressed a desire to see this information in the filings.
Grayscale submitted the amended filing on the same day that Barry Silbert, the CEO of its parent company Digital Currency Group, announced his resignation from Grayscale’s board of directors.
The SEC is expected to deliver its verdict on the latest ETF filings by January 10th. Industry experts anticipate that answers will be provided to the applying firms by the end of the first week of 2024.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | |
| Sentiment | neutral |
| Relevance Score | 1 |
| People | Barry Silbert, Eric Balchunas |
| Companies | Digital Currency Group, Invesco Galaxy, Fidelity, WisdomTree, Virtu Financial, Jane Street Capital, United States Securities and Exchange Commission (SEC), Bloomberg, Grayscale, BlackRock, JPMorgan |
| Currencies | Bitcoin |
| Securities | None |
