Hashdex, a crypto asset management firm, has entered the competition for spot Bitcoin-based exchange-traded funds (ETFs) in the United States. The company has submitted an application to the US Securities and Exchange Commission (SEC) for a Bitcoin futures ETF that will be backed by spot Bitcoin.
ETFs are investment funds traded on traditional stock exchanges that derive their value from an underlying pool of assets such as stocks, bonds, commodities, and other financial instruments. Similarly, Bitcoin ETFs track the value of Bitcoin and are traded on traditional stock exchanges, unlike crypto exchanges.
Hashdex's approach is distinctive from recent filings as it doesn't rely on Coinbase for monitoring a share agreement. Instead, it intends to obtain spot Bitcoin directly from physical exchanges within the CME market. The company's 19b-4 filing with the US SEC indicates its plan to include spot Bitcoin in its Bitcoin futures ETF and to rename it to Hashdex Bitcoin ETF.
Analysts have commented on Hashdex's innovative Bitcoin ETF filing. Bloomberg analyst James Seyffart noted that the strategy involves exclusively trading in related positions on exchanges. This means exchanging futures contracts for equivalent spot exposure instead of directly buying cash from an exchange.
Given the ongoing pressures on Gary Gensler, the SEC chairman, from various factors including the Grayscale lawsuit, Ethereum futures applications, and BlackRock's involvement with Coinbase's monitoring sharing agreement, Seyffart speculates a higher likelihood of SEC approval. other experts, like ETF Store president Nate Geraci, investor Alistair Milne, and financial attorney Scott Johnsson, have also responded positively to Hashdex's unique approach, suggesting that it might address the SEC's concerns about Bitcoin market manipulation and liquidity.
As of now, neither the SEC nor its chairman, Gary Gensler, have commented on applications for spot Bitcoin ETFs, the surge in Ethereum ETF filings, or the potential approval of spot Bitcoin ETFs in the current year.
