Second Attempt In 4 Months: Novogratz’s Galaxy Digital Files for a Bitcoin Futures ETF

Second Attempt In 4 Months: Novogratz’s Galaxy Digital Files for a Bitcoin Futures ETF

After filing with the SEC to receive approval for a Bitcoin ETF in April this year, Galaxy Digital has reportedly tried again – this time, under a different section. Novogratz’s company wants to launch a Bitcoin futures-only exchange-traded fund.

  • Bloomberg’s senior analyst, Eric Balchunas, took it to Twitter to highlight Galaxy Digital’s latest attempt to release a Bitcoin ETF in the states.
  • Galaxy just filed for a Bitcoin Futures ETF registered under 1940 Act and that will ONLY invest in futures, which is as Gensler-ready as you can get. This futures filing #5. pic.twitter.com/gMLH98mxS5— Eric Balchunas (@EricBalchunas) August 17, 2021

  • Instead of going with the more traditional way of filing with the SEC under the securities act of 1933, as it did in April 2021, the company has tried a different approach this time – under the securities act of 1940.
  • The Chair of the Securities and Exchange Commission – Gary Gensler – previously hinted that this route could have a higher chance of receiving the green light. This is why VanEck – another financial giant who has tried more than once with the SEC – filed for a BTC ETF under the 1940 Act recently as well.
  • Similarly to VanEck, Galaxy Digital’s latest attempt will focus on Bitcoin futures only. If approved, it will come with a ticker – Galaxy Bitcoin Strategy ETF.
  • It’s worth noting that the company, founder and run by Mike Novogratz, already has an active Bitcoin ETF.
  • As reported earlier this year, Canada’s securities regulator approved such a product, which launched on the Toronto Stock Exchange on March 9th. Galaxy Digital Capital Management acts as the sub-advisor to CI Global Asset Management.
  • Additionally, Canada has two more operating BTC ETFs, while the SEC has been reluctant to approve even one. Over a dozen have been rejected, while applications from VanEck and SkyBridge Capital were delayed recently.
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