SEC could notify Bitcoin ETF issuers of its approval as early as next week: Reuters

The US Securities and Exchange Commission (SEC) could notify spot Bitcoin ETF applicants of the regulator’s nod to their proposals as early as Tuesday next week, Reuters said in a report on Saturday, December 30.

This would be just days to the anticipated January 10, 2024 deadline that the SEC has to release a decision on the ARK Invest and 21Shares application.

Firms submit final changes ahead of spot Bitcoin ETF approval

Today’s reports come just a day after BlackRock, ARK Invest and 21 Shares, Invesco Galaxy, Fidelity, Valkyrie, WisdomTree, Bitwise, Franklin Templeton and VanEck, all submitted final amendments to their S-1 filings. The SEC had set Friday as the deadline for applicants to file final revisions outlining details such as fees and “authorised participants” (APs).

BlackRock named JPMorgan and Jane Street as its authorised participants, while Fidelity and WisdomTree disclosed Jane Street as their ETFs’ designated broker. Invesco has picked Virtu and JPMorgan.

In terms of fees, Invesco Galaxy indicated a zero fee charge for six months and the first $5 billion of its Bitcoin ETF. However, its sponsor fee is set as 0.59% while Fidelity’s is considerably lower at 0.39%.

Another key detail was in Bitwise’s amended S-1, which stated an unnamed entity would seed its Bitcoin ETF (BITB) with $200 – far greater than the $10 million seed for BlackRock’s.

JPMorgan CEO Jamie Dimon’s recent comments

As details of named “authorised participants”, which essentially refers to an established firm selected to steer funds flow for the ETF, one thing stood out: JPMorgan.

The bank is the largest designated participant not just in BlackRock’s Bitcoin ETF, but for other applicants as well. However, JPMorgan CEO Jamie Dimon’s stance on Bitcoin and crypto has all been about how the asset class is for criminals.  Just a few ago, the JPMorgan chief said he would “shut down” crypto if he was the government.

He told lawmakers during a Senate hearing earlier this month:

“I’ve always been deeply opposed to crypto, Bitcoin, etc. … it’s true use case is for criminals, drug traffickers, money laundering, tax avoidance. That’s the use,”

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