The New York Stock Exchange has submitted a request to the United States Securities Exchange Commission for the listing of the Valkyrie investments BTC exchange-traded fund. After the filing that took place on the 23rd of April 2021, the securities and exchange commission has a grace period of 45 days to conduct research and review the application and ultimately determine whether to disapprove or approve the request.
Valkyrie Investments have earlier proposed an Exchange Traded Fund that would make investments in companies that has Bitcoin as part of their assets or are directly or indirectly involved in the crypto space. This move came after the investment company launched a BTC Trust when the year began.
It is worthy to note that the previous application received by the SEC has been disapproved. But there are possibilities that the regulatory agency would change its stance on Valkyrie’s application.
The CIO – Chief Investment Officer of the Valkyrie Investments, Steven McClurg, said, “This move has been one I would like to take for a long time; about five years now. But it was recently the belief of SEC approval of the Bitcoin ETF began to do on me. This is what makes us begin work in August.”
Reason Why SEC could Approve this Application
Considering the new leadership of the SEC, Gary Gensler, who happens to be a friendly figure to the crypto space, there is a level of optimism and enthusiasm that Valkyrie’s ETF proposal would be the first to be approved by the SEC.
Gary Gensler has earlier served as the chairman of the CFTC – Commodity Futures Trading Commission, and he has also been the blockchain and crypto tutor in MIT as well in the past.
Also, the previous chairman of SEC, Dalia Blass, noted that the reason for the rejection of the previous ETF applications is because of the lack of liquidity.
Currently, BTC has spiked to a new level and has surpassed the $1 trillion market capitalization at a point this year. The digital asset has also reached a new ATH of $65,000 on the 14th of April this year. Obviously, the appearance of institutional investors like PayPal, Tesla, Visa contributed to how it attained the record price. There are other firms like Kryptoin and WisdomTree that are waiting for their ETF approval as well.