Published
6 months ago on
November 01, 2023
Table of Contents
- VanEck Announced Seed Capital Investor
- Fierce Competition in the Race to First US Spot Bitcoin ETF
- Bitcoin Maintains Upward Momentum
Global asset manager VanEck submitted an amended application for a spot Bitcoin (BTC) exchange-traded fund (ETF) with the SEC.
According to the US Securities and Exchange Commission’s (SEC) database, global asset manager VanEck filed an amended application for a spot bitcoin ETF.
VanEck Announced Seed Capital Investor
VanEck joins a growing list of asset managers who recently filed amended applications for spot Bitcoin ETFs with the SEC.
The global asset manager revealed an unnamed seed capital investor acquired Seed Creation Baskets for the VanEck Bitcoin Trust in October. The Seed Creation Basket is a block of 50,000 shares of VanEck’s proposed ETF and, according to finance lawyer Scott Johnson, were purchased using Bitcoin.
Similar language to the Blackrock amendment re: seeding. Perhaps not too surprising given both issuers are represented by the same lawyers at Clifford Chance. Except here, instead of seeding with cash like iShares, Vaneck suggests they'll seed with bitcoin. https://t.co/8Y0JjWfwdS pic.twitter.com/r8ZgYSmCsj
— Scott Johnsson (@SGJohnsson) October 29, 2023
VanEck’s amended filing indicated the MarketVector Bitcoin Benchmark Rate, an index used as a reference price for Bitcoin, determined the value of these holdings.
Johnson further noted VanEck’s filing used similar language to BlackRock’s recent amended application, which he says is “not too surprising given both issuers are represented by the same layers at Clifford Chance.”
In October, BlackRock submitted an amended prospectus for its spot bitcoin ETF. In its amended filing, BlackRock noted changes to the pricing details of the ETF in its financial statements, which now provide specific information regarding how the pricing source is determined in the Trust’s periodic financial statements. BlackRock further included accounting specifications such as “level 1 input according to ASC Topic 820.”
Fierce Competition in the Race to First US Spot Bitcoin ETF
BlackRock was the first asset manager to file an application for a spot bitcoin ETF and is joined by other asset managers such as Grayscale, Fidelity and Ark Invest. Grayscale made serious headway in the ETF race after a courtroom victory ordered the SEC to review its spot bitcoin ETF application.
Fidelity and Cathie Wood’s Ark Invest have all filed amendments to their respective ETF applications.
Bitcoin Maintains Upward Momentum
Bitcoin and the alt market at large have reacted positively amid the ETF buzz. Bitcoin holds strong above the $34,000 price level, while altcoins such as Ethereum (ETH), Ripple (XRP), and Solana (SOL) are primed for further price growth.
Source: CoinMarketCap
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