ARK Invest is working on the approval of a Bitcoin Exchange-Traded Fund (ETF).
Ark Investment Management has become the latest company to file for the ETF under the partnership with 21Shares, a European exchange-traded product issuer.
According to a June 28 filing with the United States Securities and Exchange Commission (SEC), ARK will assist in marketing the ETF shares while 21Shares will be the sponsor of the trust.
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The ETF would be listed on the Chicago Board Options Exchange’s (CBOE) BZX Exchange and trade under the ticker ARKB. Also, the ETF would track the S&P BTC index, with the trust underpinning the ETF also holding BTC directly.
According to the newly filed S-1, the firm’s goal is to offer direct exposure to bitcoin through shares valued daily based on the S&P Bitcoin Index, the tool developed by S&P Dow Jones Indices.
21Shares is currently the fourth-largest institutional crypto product issuer by assets under management with more than $1 billion. According to the ETF analyst Eric Balchunas, the Bitcoin ETF is approved, it would benefit to 21Shares, allowing the company to penetrate the U.S. market.
Ark is one of the big investors in the crypto industry, holding shares in Grayscale’s Bitcoin and Ethereum trusts in addition to Coinbase stock.
Cathie Wood, the CEO and founder of Ark Invest as well as a board member to 21Shares, recently predicted that Bitcoin’s price will one day tag $500,000 despite the recent crypto downturn.
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According to the CEO, although the SEC has rejected every received application for a Bitcoin ETF so far, the odds of an ETF being approved by the regulator improved after the recent crypto retracement.
Cboe has filed multiple 19b-4s, an exchange submits to list the shares of an ETF, to launch other similar funds like VanEck and WisdomTree among others.