After rumors, it’s now official. Asset manager Fidelity Investments, with over $4.2 trillion in assets under management, has officially filed for a Bitcoin spot ETF. It joins other giants such as BlackRock, WisdomTree and Invesco in the spot ETF race.
Fidelity joins the spot Bitcoin ETF race
We reported on this yesterday in our columns, Fidelity Investments was preparing to file for a Bitcoin cash ETF. As a reminder, the asset management giant had already made a similar application at the start of 2022, but was initially turned down by the Securities and Exchange Commission (SEC).
This request is part of a new trend initiated by BlackRock and followed by WisdomTree and Invesco for the creation of the first cash ETF on Bitcoin. Initial attempts, in the midst of the 2021 bull market, were not enough to convince the US financial regulator.
Fidelity’s Form 19b-4 provides more information on the fund. Note that it was shared by Chicago Board of Options Exchange (CBOE)the largest U.S. derivatives exchange, located in Chicago. It is also the second-largest market in the United States, in terms of volume traded, behind the New York Stock Exchange.
Called « Wise Origin Bitcoin Trust », this ETF includes a shared monitoring mechanism, similar to that of BlackRock. It will be sponsored by FD Funds Management LLC and managed by Fidelity Digital Assets Services, which will be responsible for the custody of the bitcoins.
This element could be differentiating in the SEC’s decision to accept this fund, after refraining from approving any bitcoin cash ETF. Since BlackRock’s first filing on June 15, the Bitcoin price has soared by more than 22%.
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Source: Form 19b-4
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