U.S. SEC Approves ETF That Tracks Performance of Bitcoin Investment Firms

Just four months after the request, Volt Equity’s Volt Bitcoin Revolution ETF received a green light from the United States Securities and Exchange Commission. It will offer investors the opportunity to invest in companies directly exposed to BTC, such as MicroStrategy.

• In early June of this year, California-based Volt Equity filed documents with the Commission to launch another type of exchange-traded fund with indirect exposure to BTC.
• The brief described the organizations included in the ETF as “companies of the Bitcoin revolution” because they have allocated significant portions of the cryptocurrency or are involved in it through development or mining.
• Under “normal circumstances”, the Fund will invest at least 80% of its net assets in domestic and foreign Bitcoin Revolution companies, directly or through options.
• One of those BRCs is MicroStrategy – the NASDAQ-listed business intelligence giant led by Michael Saylor, which currently owns over $ 5 billion in BTC.
• The SEC gave the product the green light earlier this month, according to a recent filing. It will be posted on the New York Stock Exchange Arca under the ticker symbol BTCR.
• This approval could be seen as the most encouraging news coming from the SEC in terms of an ETF linked to BTC.
• The Commission has been reluctant to give the green light to a single product of this type that directly tracks the performance of the primary digital asset.
• At the same time, the number of companies that have applied continues to increase, moving from Grayscale to VanEck and SkyBridge Capital. However, the SEC has rejected or delayed all requests so far.
• In contrast, Canada and Brazil have already approved a few Bitcoin ETFs, with most of them enjoying impressive first months in AUM terms.