Congress Crypto and AI Funding for Crypto Investment
Asset management firm Valkyrie has stated that they will wait for the United States Securities and Exchange Commission to approve an exchange-traded fund (ETF) with exposure to Ether (ETH) futures, rather than making the purchases in advance.
In a Sept. 29 filing with the SEC, Valkyrie stated that they would not make any purchases “until the effectiveness of an amendment” reflecting ETH futures contracts as the ETF’s principal investment strategy. The firm had mentioned to Cointelegraph on Sept. 28 that they were planning to give investors exposure to both Ether and Bitcoin (BTC) under a combined Bitcoin and Ether Strategy ETF, with purchases planned ahead of a launch the first week of October.
The SEC filing stated that “The Fund will unwind any existing positions in ether futures contracts.” Cointelegraph reached out to Valkyrie but did not receive a response at the time of publication. It is unclear what could have caused the firm to change its position within less than 24 hours. Valkyrie had filed with the SEC to list an Ether futures ETF on the Nasdaq Stock Market in August, but the regulator has not yet made a decision on a proposed rule change allowing the investment vehicle.
The crypto market cap, crypto government, and crypto law have all been impacted by Congress crypto and AI funding for crypto investment. It will be interesting to see how the crypto bill will shape the future of the industry.
As the crypto market cap continues to rise, several ETFs offering exposure to Ether futures are set to begin trading the first week of October, including those from VanEck, Bitwise and ProShares. However, the SEC delayed its decision on a proposal for a spot BTC ETF from Valkyrie, as well as proposals from BlackRock, Invesco and Bitwise on Sept. 28.
The postponements came shortly before the SEC’s scheduled ETF deadlines, with many speculating that the regulator was reacting to the potential shutdown of the U.S. government. Members of Congress have until Sept. 30 to pass a bill to fund the government into the next fiscal year, which U.S. President Joe Biden would then sign into AI-funded law.
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