WisdomTree has launched its spot Bitcoin exchange-traded fund (ETF) in the US. Dubbed WisdomTree
Bitcoin Fund (BTCW), this fund has debuted on the Cboe BZX Exchange, providing
investors in the US with an avenue to gain exposure to the price of Bitcoin. BTCW offers a zero expense ratio for the first $1.0 billion worth
of assets.
In its official statement, WisdomTree advised investors to trade the fund cautiously, considering the volatility in the price of Bitcoin. The company explained that cryptocurrency and, by extension, the BTCW are highly speculative and involve considerable risk,
including the potential for substantial losses.
The WisdomTree Bitcoin Fund (BTCW) makes history in the first wave of Bitcoin ETFs with an anticipated launch tomorrow, January 11. More information is available here: https://t.co/leuba2ToIV
See prospectus here: https://t.co/ug1HpjyeV7
— WisdomTree (@WisdomTreeFunds) January 11, 2024
Last
year, WisdomTree sought regulatory approval for the second time from the SEC to
list a spot Bitcoin ETF. This step followed a similar application from
BlackRock, among several other asset management firms. However, the SEC rejected WisdomTree’s application in
2022.
Despite
previous rejections for spot Bitcoin ETF applications by the watchdog, the current regulatory
climate and growing industry pressure have led to a different outcome. The
heightened interest from regulated financial players has swayed the regulator
toward a more favorable view of such instruments. The recent decision is expected to
reshape the crypto investment landscape in the United States.
Paving the Way for Bitcoin Adoption?
On
Wednesday, the SEC approved 11 spot Bitcoin ETFs to start trading on US stock
exchanges today. This historic decision opened new avenues for investors and
crypto enthusiasts, signaling a significant shift in the financial landscape.
Leading the charge is Bitwise, which is set to list its spot Bitcoin ETF on NYSE
Arca, with a strategy of charging no fees for the initial six months until
the asset under management hits $1 billion.
Following
this approval, the SEC’s Chief, Gary Gensler, issued a statement emphasizing that the
approval is specific to exchange-traded products (ETPs) holding Bitcoin, not an endorsement for broader
crypto asset securities. Gensler highlighted a recent court decision regarding
Grayscale’s proposed ETP, reinforcing the SEC’s commitment to acting within
the law.
WisdomTree has launched its spot Bitcoin exchange-traded fund (ETF) in the US. Dubbed WisdomTree
Bitcoin Fund (BTCW), this fund has debuted on the Cboe BZX Exchange, providing
investors in the US with an avenue to gain exposure to the price of Bitcoin. BTCW offers a zero expense ratio for the first $1.0 billion worth
of assets.
In its official statement, WisdomTree advised investors to trade the fund cautiously, considering the volatility in the price of Bitcoin. The company explained that cryptocurrency and, by extension, the BTCW are highly speculative and involve considerable risk,
including the potential for substantial losses.
The WisdomTree Bitcoin Fund (BTCW) makes history in the first wave of Bitcoin ETFs with an anticipated launch tomorrow, January 11. More information is available here: https://t.co/leuba2ToIV
See prospectus here: https://t.co/ug1HpjyeV7
— WisdomTree (@WisdomTreeFunds) January 11, 2024
Last
year, WisdomTree sought regulatory approval for the second time from the SEC to
list a spot Bitcoin ETF. This step followed a similar application from
BlackRock, among several other asset management firms. However, the SEC rejected WisdomTree’s application in
2022.
Despite
previous rejections for spot Bitcoin ETF applications by the watchdog, the current regulatory
climate and growing industry pressure have led to a different outcome. The
heightened interest from regulated financial players has swayed the regulator
toward a more favorable view of such instruments. The recent decision is expected to
reshape the crypto investment landscape in the United States.
Paving the Way for Bitcoin Adoption?
On
Wednesday, the SEC approved 11 spot Bitcoin ETFs to start trading on US stock
exchanges today. This historic decision opened new avenues for investors and
crypto enthusiasts, signaling a significant shift in the financial landscape.
Leading the charge is Bitwise, which is set to list its spot Bitcoin ETF on NYSE
Arca, with a strategy of charging no fees for the initial six months until
the asset under management hits $1 billion.
Following
this approval, the SEC’s Chief, Gary Gensler, issued a statement emphasizing that the
approval is specific to exchange-traded products (ETPs) holding Bitcoin, not an endorsement for broader
crypto asset securities. Gensler highlighted a recent court decision regarding
Grayscale’s proposed ETP, reinforcing the SEC’s commitment to acting within
the law.
