CBOE list VanEck ETF
Bitcoin,  Regulation

CBOE files to list VanEck’s proposed Bitcoin ETF

Financial giant State Street will be the ETF’s fund administrator; Canada’s Evolve proposes Ether ETF

The Chicago Board Options Exchange, better known as CBOE, has filed to list the yet-to-be-approved VanEck Bitcoin exchange-traded fund.

The CBOE originally filed the now-disclosed form with the United States Securities and Exchange Commission (SEC) to allow it to list the VanEck Bitcoin Trust—which the SEC has not yet approved—on Jan. 3. Van Eck filed a Form S-1 with the regulator seeking approval for its ETF on the last day of 2020—a week after the SEC’s anti-Bitcoin ETF chairman, Jay Clayton, had resigned.

CBOE highlighted the security benefits of using an ETF product to acquire exposure to Bitcoin when compared to trading it on the spot market in its filing, saying:

“Exposure to Bitcoin through an ETP also presents certain advantages for retail investors compared to buying spot Bitcoin directly. The most notable advantage is the use of the Custodian to custody the Trust’s Bitcoin assets.”

Earlier today, financial services giant State Street announced that it will be the fund administrator and transfer agent for VanEck’s Bitcoin ETF. “We see the implementation of digital assets as one of the most transformational forces affecting our industry over the next five years, and we are already very actively engaged with clients and partners in delivering solutions,” said Nadine Chakar, head of State Street Global Markets.

On Jan. 21 VanEck, which saw a previous Bitcoin ETF proposal denied in 2019, filed another ETF application with the SEC. The VanEck Vectors Digital Assets ETF would track the price and yield performance of the MVIS Global Digital Assets Equity Index.

VanEck’s filing is far from the only ETF news today. As Modern Consensus reported, Goldman Sachs is rumored to be planning to file a Bitcoin ETF of its own. The financial giant also announced that it plans to restart its crypto trading desk today.

While cryptocurrency firms have been tirelessly trying to obtain an approval for a Bitcoin ETF for many years, many industry insiders believe the SEC is likely to do so soon, now that the agency is overseen by Gary Gensler, a well-known figure in the crypto industry who taught digital assets and blockchain at MIT until being tapped by the Biden administration.

Another reason for optimism is the wildly successful launch of Canada’s first ETF, Purpose Bitcoin ETF, which was approved on Feb. 12 and launched on Feb. 18. It attracted more than $500 million in its first 10 days. 

Evolve Funds Group, which received Canadian regulatory approval for a Bitcoin ETF a week after Purpose Bitcoin ETF, announced today that it is seeking approval for a Canadian Ether ETF.

“As a leader in disruptive innovation, we look forward to providing Canadian investors with access to another leading cryptocurrency through an ETF structure,” said Raj Lala, president and CEO of Evolve. “Cryptocurrencies are fundamentally transforming digital finance and Evolve is quickly establishing itself as a leading facilitator for investing in this space.”

Updated 3:45 p.m on Mar. 2, 2021 to reflect news that State Street will be the VanEck Bitcoin Trust’s fund administrator.

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Adrian is a newswriter based out of Pisa, Italy. He's passionate about cryptocurrency, digital rights, IT, tech and futurology and likes to think about the future in a positive way.