Breaking: US SEC Nears Approval for Bitcoin ETF – Trading Set to Commence on January 11th

• Applicants of spot Bitcoin ETF could witness their spot Bitcoin ETF products listed on the stock market starting January 11, 2024.
• Bitcoin advocate Max Keiser has voiced concerns regarding the lack of protection for holders of BTC ETFs against potential government seizures.

Recent reports suggest that the United States Securities and Exchange Commission (SEC) is poised to make a favorable decision regarding the approval of a spot Bitcoin exchange-traded fund (ETF) in the coming days, pending clearance of the 19b-4 and S-1 forms.

If speculation holds true, major players in the cryptocurrency market, including Blackrock, Fidelity, Van Eck, Valkyrie, Bitwise, and Grayscale, may see their spot Bitcoin ETF products listed on the stock market starting January 11, 2024. This timeline aligns with the impending January 10 deadline that SEC officials face in the Ark 21Shares spot Bitcoin ETF filing.

Sources suggest that the SEC is set to vote on the 19b-4 forms in the next few days, with ETF applicants expected to submit form S-1 by 8 am on Monday, January 8, 2024. Bloomberg analysts have reported a reduced likelihood of ETF rejection to 5%, following recent meetings between SEC officials and representatives from firms seeking approval. The report states, “If the SEC grants both sets of required approvals, the ETFs could start trading as soon as the next business day.”

An essential vote on this matter is likely early this week, potentially paving the way for the eagerly awaited approval of Bitcoin ETFs. Such approval holds significance as it could mark a crucial step towards standardizing the inflow of institutional funds into the cryptocurrency market. Companies like MicroStrategy ($MSTR) have already positioned themselves strategically, investing substantially in Bitcoin ($BTC) in anticipation of potential price volatility.

Controversial Take on Bitcoin ETF Approval

Bitcoin advocate Max Keiser has expressed apprehensions, claiming that holders of BTC ETFs (Exchange-Traded Funds) lack protection against potential government seizures. Keiser contends that the U.S. government may have intentions to seize all Bitcoin held within ETFs, citing national security interests as the underlying motive for such action.

He points to an excerpt from the Valkyrie Bitcoin Fund Form S1 Registration Statement, which suggests that a U.S. federal regulator has the authority to compel the Trust to liquidate the Bitcoin or take actions such as “seizing,” “impounding,” and “restricting” access to the Trust’s assets.

https://t.co/1rLrQVspus pic.twitter.com/po96XAHOuA

— Max Keiser (@maxkeiser) January 7, 2024

Keiser argues that such actions would contradict the decentralized nature of Bitcoin. It is important to note that spot BTC ETFs issue shares against physically purchased Bitcoin, which remains with designated custodians, as opposed to self-custody.

BTC Whales Continue With Their Purchases

LookOnChain, a provider of on-chain data, has revealed a strategic move by a discerning whale in the cryptocurrency market. Over the last two days, this astute investor has acquired 1,750 BTC (equivalent to $76.9 million) from the well-known exchange Binance, strategically making purchases at a rate of $43,953 per Bitcoin.

This recent accumulation comes on the heels of a larger-scale initiative by the same whale, spanning from August 24 to September 2. During this period, they amassed a significant 6,000 BTC (totaling $158.66 million) at an advantageous price of $26,444 per Bitcoin.

Seizing opportunities presented by market conditions, the whale deposited 3,000 BTC (equivalent to $105.7 million) back into Binance when the price reached $35,241, resulting in a substantial profit of $26.4 million. Also, as of the latest data, the savvy whale presently holds a total of 4,750 BTC, valued at $207.4 million. This strategic maneuver further showcases a calculated and opportunistic approach by the whale in navigating the cryptocurrency market.