Chicago Board Options Exchange applies to the US SEC to list VanEck Bitcoin ETF

A public 19b-4 application document shows that the Chicago Board Options Exchange (Cboe) has applied to the US SEC to publicly list and trade the VanEck Bitcoin ETF.

“Our filing builds upon VanEck’s earlier S-1 filing from December 30 and represents the next step in bringing what could be the first U.S. bitcoin ETF to market,” a Cboe spokesperson said.

According to previous news from Bitpush, Canada has approved two highly regarded Bitcoin ETFs. Since its launch at the end of last month, the assets under management of Purpose Bitcoin ETF have quickly exceeded US$400 million.

“This is a very good start,” JPMorgan Chase said in a note to clients Monday morning.

It is unclear when U.S. regulators will approve a Bitcoin ETF. Although Cboe is hopeful, stating that it “believes that approval of a Bitcoin ETF could allow investors to gain exposure to Bitcoin in a transparent, regulated manner.”

“Holding bitcoin through an electronic trading platform has certain advantages for retail investors compared to purchasing spot bitcoin directly,” CBOE wrote in its filing. “The most significant advantage is the use of a custodian to hold the trust’s bitcoin assets. The custodian is a trust company chartered and regulated by NYDFS.”

The Chicago exchange operator announced late last year its intention to re-enter the bitcoin market through data products. At the time, the company said the business could lead to new indices tied to bitcoin and tradable products.

Bloomberg's ETF expert Eric Balchunas said it is only a matter of time before the SEC approves a Bitcoin ETF. He said: "I think it's just a matter of the SEC, and once they change their mind, I think it will happen quickly." (Bitpush)