The long wait for a Bitcoin product to be traded on the stock exchange could soon come to an end, according to sources from financial media giant Bloomberg.
Citing “people familiar with the matter”, Bloomberg reported that the US Securities and Exchange Commission is about to approve the country’s first Bitcoin futures exchange-traded funds.
The anonymous sources said:
“The regulator is unlikely to stop the products from starting trading next week.”
A futures product is likely to be the first to be approved as it is priced more cheaply by regulators. Futures are subject to the Chicago Mercantile Exchange (CME) and require investors to put cash on margin in order to trade them.
Eric Balchunas, Bloomberg’s senior ETF analyst, is confident that the ProShares Bitcoin Strategy ETF could be the first to hit the market as the decision deadline is October 18th. The Invesco Bitcoin Strategy ETF can be approved the next day provided there are no further delays by the SEC.
In a tweet on October 15, the analyst stated, “The deal is pretty much done. Expect launches next week “before adding the” odds now over 90% IMO “.
JUST IN: Bitcoin futures ETFs are not said to face any resistance from the SEC, according to multiple sources confirming this (other than that, I hear the same thing). Pretty well done deal. Expect launches next week. Nice late night story by @kgreifeld @VildanaHajric @benbain pic.twitter.com/axT6ME4MeI
– Eric Balchunas (@EricBalchunas) October 15, 2021
SEC chairman Gary Gensler has advocated funds based on CME-traded Bitcoin futures filed under a 1940s law, adding weight to the potential for long-awaited approval.
Related: SEC chairman Gary Gensler is actually pro-Bitcoin, argues the CEO of Volt Equity
On October 14, Cointelegraph reported that Ark Invest had partnered with 21Shares to apply for an ETF that will trade Bitcoin futures, suggesting that they too were confident that product approval was imminent.
VanEck and Valkyrie’s ETF application deadlines are also approaching October 25th, so a number of them could hit the exchanges in the next few weeks.
Monday October 18th could be a big day for Bitcoin prices as markets bubble in anticipation of this landmark event. At the time of writing, BTC had just risen to $ 59,600 before a slight decline, according to CoinGecko.