While the Bitcoin exchange fund has not yet been approved by the SEC, the agency has finally approved what could turn out to be the next big thing for crypto.
SEC approves Volt Bitcoin Revolution ETF
In a press release, the US securities regulator SEC announced the approval of the Volt Bitcoin Revolution ETF.
The Volt Bitcoin Revolution ETF is managed by the San Francisco-based company Volt Equity. Before the Bitcoin Exchange Fund was approved by the agency, the former is seen as the next big thing after the latter, in providing exposure to companies with significant Bitcoin holdings i.e. Microstrategy (the largest public company that holds most of the BTCs).
The company claims that the Volt Fund will be less volatile compared to the Bitcoin-only fund. This means that in the event of large price losses, the shares of the companies that hold BTCs depreciate less than the value of the bitcoin.
Significantly, the agency has denied approval of the Bitcoin Exchange Fund in the past and the fund is currently pending approval from the SEC again.
BTC price spike
Industry observer and CEO of Australia’s Monochrome, Jeff Yew, believes the expectation of Bitcoin Exchange Fund approval has propelled BTC price up recently. He stated:
“There has been speculation that the recent Bitcoin price growth is due to the expectation of a Bitcoin Exchange Traded Fund in the US.” He added ” “However, experts assume that the decision will likely be made at the end of the year or in the first quarter of 2022.”
Currently up nearly 2% in the past 24 hours, BTC could get an unprecedented boost if the Bitcoin Exchange Fund is approved anytime soon.