The Securities and Exchange Commission (SEC), Fidelity has once again stepped into the spotlight, presenting its case for the Wise Origin Bitcoin Trust, a spot Bitcoin ETF. The conference, which included representatives from Cboe BZX Exchange and SEC officials, was a deep dive into the trust’s structure and the proposed rule change that would allow it to be listed and traded.
During the discussion, Fidelity emphasized the importance of “physical creation and redemption” to bolster trading efficiency—a point underlined in the PowerPoint slides from the meeting. This strategy is not just about enhancing trading but is pivotal for “arbitrage and hedge” operations, making it a cornerstone of Fidelity’s proposal to the regulator.
The application, initially put forward on June 19, follows hot on the heels of similar filings by other heavyweight asset managers like BlackRock. Despite a setback in 2022, when the SEC rejected Fidelity’s earlier application, the firm remains undeterred.
The broader industry is abuzz with anticipation, with Hashdex predicting the debut of the first U.S. spot Bitcoin ETF by the second quarter of 2024. Meanwhile, Bloomberg analysts Eric Balchunas and James Seyffart have marked January 10 as a potential watershed date, coinciding with the SEC’s deadline for ARK Invest’s application.
The narrative has shifted from “if” to “when,” as noted by Dramane Meite, head of product for Hashdex in the U.S. and Europe. The industry’s eyes are now fixed on the SEC, awaiting a decision that could redefine the cryptocurrency investment landscape.
