ARK & 21Shares Ahead in Bitcoin ETF Race, Outpacing BlackRock

ARK & 21Shares Ahead in Bitcoin ETF Race, Outpacing BlackRock
According to reports, ARK Investment Management, a company led by experienced investor Cathie Wood and known for its support of Bitcoin, appears to be leading the competition in the quest to launch a Bitcoin exchange-traded fund (ETF).

Analyst Yassine Elmandjra reportedly stated that other applicants will have the opportunity to modify their filings by incorporating similar agreements at a minimal expense. This statement suggests that other contenders in the race for a spot Bitcoin ETF can potentially adapt their applications to include comparable provisions without significant financial implications.

Elmandjra emphasized that both ARK and the European asset manager 21Shares submitted an application for a spot Bitcoin ETF to the U.S. Securities and Exchange Commission (SEC) in April. "Currently, that is the only application ahead of BlackRock's," he stated, indicating that ARK and 21Shares have a head start in the race for launching a spot Bitcoin ETF compared to BlackRock.

During the middle of June, BlackRock, an investment firm, submitted an application for a spot Bitcoin ETF. This development generated considerable optimism within cryptocurrency markets.

Despite initial speculations that BlackRock could potentially be the first issuer of a spot Bitcoin ETF in the United States if granted approval, some executives and analysts suggest that this might not be the outcome. Contrary opinions have emerged regarding the likelihood of BlackRock securing that milestone position.

Additional industry observers, such as Bloomberg Intelligence ETF analyst James Seyffart, have echoed the sentiment that ARK and 21Shares should maintain a lead position in the pursuit of a spot Bitcoin ETF. Their expert opinion supports the notion that ARK and 21Shares are better positioned than other contenders in the race to secure approval for a spot Bitcoin ETF.

Seyffart further elaborated that among the applicants, 21Shares, ARK, and Cboe (Chicago Board Options Exchange) are considered to be at the forefront. This is primarily due to their upcoming SEC decision date on August 13, 2023. 

On the other hand, there is no specific date available for the other 19b-4 applications, including the one filed by BlackRock. Seyffart's statement suggests that the timeline and progress of 21Shares, ARK, and Cboe place them in a more advantageous position compared to other applicants, including BlackRock.

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