Fidelity Initiates Registration for Bitcoin ETF with SEC

Fidelity Investments has taken a significant step towards introducing a spot Bitcoin ETF by filing for the registration of securities with the US Securities and Exchange Commission (SEC). The move arrives amid heightened anticipation surrounding the approval of spot ETF filings before January 10, 2024.

Fidelity’s Endeavor: Bitcoin ETF Shares as Securities

The asset management giant, Fidelity, formally filed for the registration of shares of beneficial interest of Fidelity Wise Origin Bitcoin Fund via a form 8-A submission to the SEC. This initiative occurs in a landscape of ongoing debate over whether crypto assets like Bitcoin should be classified as securities or commodities.

The proposed Bitcoin ETFs are structured to track Bitcoin’s price movement and are designed to trade on conventional markets rather than within the cryptocurrency sphere, offering investors indirect exposure to the crypto market.

Recent statements from the US Commodity Futures Trading Commission (CFTC) and the SEC have contributed to ambiguity regarding the regulatory jurisdiction for the trading of Bitcoin and other digital currencies, fostering uncertainty among traders and investors.

ETF Prospects Ahead of January 10

The discussions surrounding Bitcoin ETFs extend beyond Fidelity, with reports suggesting Goldman Sachs is engaging with BlackRock and Grayscale to become an “authorized participant” (AP) in the space. Previously, BlackRock’s ETF filing mentioned JP Morgan as the primary AP. The forthcoming week, specifically the January 8-10 window, could be pivotal as observers await any official announcements from SEC officials regarding the potential approval of spot ETFs.

Earlier reports surfaced indicating Fidelity’s spot Bitcoin ETF was included in the active and pre-launch listing of the Depository Trust & Clearing Corporation (DTCC) under the ticker FBTC. Subsequently, Bitwise’s spot Bitcoin ETF also found its place on the DTCC’s active and pre-launch roster, underlining the growing interest and anticipation surrounding these investment vehicles.

Fidelity’s maneuver towards a Bitcoin ETF registration represents a significant stride in institutional participation within the cryptocurrency space, potentially opening avenues for more traditional financial institutions to engage with digital assets through ETFs. The ongoing developments are closely watched by both the crypto community and traditional investors, eagerly awaiting regulatory clarity in this rapidly evolving landscape.