CBOE Pulls Back VanEck/SolidX Bitcoin ETF Ahead of SEC's Decision

The Chicago Board Options Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term’s (CBOE) BZX Equity Exchange has withdrawn its application with the Securities and Exchange Regulator (SEC) for the approval of VanEck/SolidX Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term exchange-traded fund (ETF).

Revealed by the market regulator on Tuesday with an official notice, the application was withdrawn by the exchange on September 13. However, no specific reason has been cited for such an abrupt decision.

The decision to finally withdraw the application was taken after a series of delays by the SEC to take a decision on the ETF application. The October 18 final deadline for the application was also approaching by with the regulator needed to approve or reject the Bitcoin ETF proposal.

We are committed to support Bitcoin and Bitcoin-focused financial innovation. Bringing to market a physical, liquid and insured ETF remains a top priority. We continue to work closely with regulators & market participants to get one step closer every day. https://t.co/bDYiSbTRVl

— Gabor Gurbacs (@gaborgurbacs) September 17, 2019

A flop fund for the institutions

Earlier this month, VanEck and SolidX launched an institution-focused Bitcoin ETF, circumventing the strict SEC guidelines under the Rule 144A exemption. Only qualified entities with at least $100 million worth in assets owned or invested are allowed to purchase the shares of the ETF.

However, the crypto-focused instrument failed to attract the attention of institutional investors as in around three weeks of the launch of the product, only one basket of the 4 Bitcoins worth around $41,000 were traded.

Although the company did not clarify any reason behind the withdrawal of the application, it also withdrew its application in January after the prolonged shutdown of the United States government which then increased the chances of rejection of Bitcoin ETF.

Meanwhile, another application of similar crypto-backed ETF by Bitwise and NYSE Arca is pending with the regulator for approval. The crypto company recently updated its application naming BNY Mellon as its transfer agent and administrator for the proposed ETF.