Investment giants WisdomTree and Invesco have recently joined BlackRock in the growing race to launch spot Bitcoin Exchange Traded Funds (ETFs). This news comes hot on the heels of BlackRock’s filing on June 15, stirring renewed interest in Bitcoin ETFs among industry leaders.
In 2021, Invesco, in collaboration with Mike Novogratz’s Galaxy Digital, was among the first to apply for a spot Bitcoin ETF. WisdomTree was also in the fray, having submitted their application in the same year. However, WisdomTree’s attempt was met with a rejection by the Securities and Exchange Commission (SEC) in October 2022.
Undeterred, WisdomTree, which boasts a substantial management portfolio of over $83 billion in assets, submitted another application shortly after BlackRock’s recent proposal. Notably, BlackRock’s submission emphasized the SEC’s approval of the Bitcoin futures fund managed by investment advisory firm Teucrium. WisdomTree echoed this sentiment in its renewed filing, signifying its unwavering commitment to the crypto-asset industry.
BlackRock’s application has yet to secure approval from the SEC. However, it has already sparked a great deal of industry buzz. Eric Balchunas, a senior ETF analyst at Bloomberg, tweeted that “BlackRock breathed new life into the race” in a post commenting on the WisdomTree application.
Rumors are also swirling around that several multi-trillion-dollar fund management firms, such as Fidelity Investments, may soon join the Bitcoin ETF application spree.
Potential Game-Changers in the Bitcoin ETF Landscape
With these recent developments, it appears that the race to establish a spot Bitcoin ETF is far from over. The surge in applications from such notable investment management firms could significantly reshape the Bitcoin ETF landscape. As more firms join this chase, the industry eagerly awaits the SEC’s decision on BlackRock’s proposal. This could set the tone for future spot Bitcoin ETFs, bringing a potentially transformative wave to the world of cryptocurrency investment.
With each new application, we inch closer to the potential mass adoption of Bitcoin in traditional investment portfolios. The realization of a Bitcoin ETF could signal a new era for the crypto asset market, bringing with it increased accessibility, liquidity, and regulatory certainty.