Fidelity Investments filed on Wednesday (24) a request to open a Bitcoin ETF. THE document was sent to the United States Securities and Exchange Commission (SEC).
Entitled Wise Origin Bitcoin Trust, it will follow Bitcoin’s daily performance. The ETF reference will be the Fidelity Bitcoin Index PR, index created by Fidelity itself.
“The Fund provides direct exposure to Bitcoin, and the Shares are valued daily using the same methodology used to calculate the Index,” said the manager.
Fidelity chose the state of Delaware as the fund’s incorporation site. Management will be in charge of the manager’s digital assets division.
Top managers seek Bitcoin ETF
With US $ 4.9 trillion of assets under management – equivalent to R $ 20 trillion at the current price, Fidelity is one of the largest managers in the world. And the company seeks to consolidate its activities with cryptocurrencies.
In 2019, the company launched a Bitcoin custody service aimed at large investors. At the end of last year, he started accepting cryptocurrency as collateral for loans.
Fidelity says investors can access the fund through a traditional brokerage account. Like other proposed Bitcoin ETFs, the Fidelity Trust is intended to facilitate institutional investment in cryptocurrencies.
“With Wise Origin, investors will be able to expose themselves to Bitcoin without facing potential barriers to entry or risks involved in maintaining or transferring Bitcoin directly,” said the manager.
Last week, Goldman Sachs bank filed for a new ETF that includes the option to expose itself to Bitcoin.
“Our fund may have exposure to cryptocurrencies, such as Bitcoin, indirectly through an investment in a concession fund,” said the prospectus.
Now, Fidelity’s order needs to be approved by the SEC. If this happens, the municipality will have up to 45 days to decide whether to authorize the creation of the fund.
US seeks to make up for delay
U.S. institutions are looking to catch up on Bitcoin ETFs. Neighboring Canada, for example, already has two ETFs traded on the exchange.
Even Brazil has outpaced the Americans in this regard. Just last week, two ETFs were approved, managed by Hashdex and QR Management, respectively.
SEC commissioner Hester Peirce is a leading advocate for a Bitcoin ETF. For her, the USA could be left behind in this market if the ETF is not approved.
Also read: Whales accumulate the Bitcoin you sell in desperation, says analyst
Read also: 5 tokens will make “super appreciation” in April, predicts Nicholas Merten
Also read: Coinbase lists 3 cryptocurrencies and causes skyrocketing prices