The race to launch a Bitcoin Exchange Traded Fund (ETF) is heating up as ARK Invest has added a surveillance agreement to its application. The agreement is intended to provide additional oversight and regulation of the fund. This news is seen as a positive step forward for the ETF and could lead to its eventual approval by the U.S. Securities and Exchange Commission (SEC).
The ETF would allow investors to gain exposure to Bitcoin without having to purchase the digital currency directly. It would also provide an easier way for institutional investors to invest in the cryptocurrency. This could lead to increased liquidity and more widespread adoption of Bitcoin.
This article will provide an overview of the news that ARK Invest has added a surveillance agreement to its Bitcoin ETF application and discuss the potential implications of this move.
ARK Invest’s Application
ARK Invest, a leading asset manager, recently submitted an application to the US Securities and Exchange Commission (SEC) for a Bitcoin exchange-traded fund (ETF). The application is part of a growing race to become the first Bitcoin ETF to be approved by the SEC.
ARK Invest’s application includes a surveillance agreement with the CME Group, the world’s largest futures exchange. The agreement is designed to provide the SEC with assurances that the Bitcoin ETF will be able to monitor and detect any potential market manipulation or other illegal activities.
The application also includes a detailed description of the ETF’s investment strategy, which is focused on providing investors with exposure to the price movements of Bitcoin. The ETF will also include a risk management strategy to protect investors from any potential losses.
ARK Invest’s application is the latest in a series of applications for a Bitcoin ETF submitted to the SEC. It remains to be seen if the SEC will approve any of the applications, but the race to become the first Bitcoin ETF is heating up.
The recent news that ARK Invest has added a surveillance agreement to its application for a Bitcoin ETF has caused a stir in the cryptocurrency world. The agreement is intended to help the U.S. Securities and Exchange Commission (SEC) monitor the ETF’s trading activity and ensure that it is in compliance with regulations.
The agreement, which was filed with the SEC on April 15, 2021, is between ARK Invest and the Financial Industry Regulatory Authority (FINRA). It requires ARK Invest to provide FINRA with information about the ETF’s trading activity, including information about the ETF’s holdings, the size of its positions, and the identities of its counterparties.
The agreement also requires ARK Invest to provide FINRA with information about any changes to the ETF’s portfolio, and to report any suspicious trading activity. This is intended to help the SEC ensure that the ETF is not being used for any illegal activities, such as money laundering or market manipulation.
The addition of this surveillance agreement is seen as a positive sign by many in the industry, as it suggests that the SEC is taking the ETF’s application seriously. It is also seen as a sign that the SEC is willing to work with cryptocurrency companies to ensure that the markets remain safe and secure.
Other ETF Applications
The race to launch the first Bitcoin ETF has been heating up in recent weeks, with ARK Invest becoming the latest firm to submit an application to the US Securities and Exchange Commission (SEC). ARK Invest’s application is unique in that it includes a surveillance agreement with Coinbase, which would help the SEC monitor the ETF’s underlying assets.
However, ARK Invest is not the only firm to have submitted an ETF application to the SEC. Other firms that have submitted applications include VanEck, WisdomTree, and Bitwise. Each of these firms has proposed a different approach to launching a Bitcoin ETF, and the SEC will have to evaluate each application on its own merits.
VanEck’s ETF application is notable in that it includes a partnership with SolidX, a financial services firm that specializes in providing institutional investors with access to digital assets. The ETF would be backed by physical Bitcoin, which would be held in a trust.
WisdomTree, meanwhile, has proposed a physically-backed ETF that would be backed by Bitcoin futures contracts. The ETF would be listed on the Cboe BZX Exchange and would be open to retail and institutional investors alike.
Finally, Bitwise has proposed an ETF that would be backed by a basket of cryptocurrencies, including Bitcoin, Ethereum, Ripple, and Litecoin. The ETF would be listed on the NYSE Arca exchange and would be open to both retail and institutional investors.
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