Galaxy Digital Files for Bitcoin Futures ETF
Galaxy Digital has filed with the SEC for a Bitcoin futures exchange-traded fund under the Investment Company Act of 1940.
The move follows Galaxy Digital’s initial filing for a Bitcoin ETF, though that effort was not approved.
Notably, the Mike Novogratz-led company, which boasts $1.42 billion in assets under management as of 30 June 2021, would not invest in Bitcoin directly, but rather Bitcoin futures and other investment vehicles.
Bitcoin ETF filings are subject to the regulations of the Chicago Mercantile Exchange.
The filing is in accordance with recent preferences expressed by SEC Chairman Gary Gensler just weeks ago.
In the weeks that followed those comments a series of funds filed for Bitcoin Futures ETF approval. Notably VanEck, Invesco, Goldman Sachs, Grayscale Bitcoin Trust and Viridi Funds have all recently filed for or begun to offer investment vehicles tied to Bitcoin ETFs.
The uptick in ETF registrations by large firms is testament to a large and growing demand for exposure to Bitcoin through traditional investment vehicles in the United States.
Following Gensler’s signaling that fillings based on Bitcoin futures may have the highest chance of approval, it can be expected more firms will follow suit with this strategy.