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- Galaxy Digital has applied for Bitcoin ETF in the U.S.
- The Bitcoin ETF has not yet been approved in the U.S.
Along With the other seven companies, Galaxy Digital has applied for the Bitcoin ETF exchange trading to the SEC. However, the SEC’s approval has not yet been given as Bitcoin ETF are yet to be approved in the U.S.
Galaxy Digital Files for Bitcoin ETF
Galaxy Digital, the cryptocurrency investment firm, has filed for the bitcoin exchange-traded fund (ETF) to the Securities and Exchange Commission (SEC). This is the eighth company that has filed for the ETF. The company hopes to get approval from the SEC soon.
The company has mentioned in the written application to the SEC that the ETF runs in the NYSE Acra, an exchange on which both stocks and options are traded. But what is an ETF? It is a function through which investors can buy and sell shares that represent the value of an underlying asset continually throughout the day.
Why is Bitcoin ETF trending in the cryptomarket?
A bitcoin ETF allows investors to buy shares that represent the digital asset. It means that it is a path to bet on bitcoin’s price without purchasing and storing the cryptocurrency itself. It is to be noted that the Bitcoin ETF does not exist in the U.S., but other seven companies have filed for Bitcoin ETF approval which is still pending.
As per the application, GALAXY Digital believes that it will be a cost-effective way to implement strategic and tactical asset allocation strategies for the shareholders to implement. The bitcoin investment will be investing more in share than purchasing, trading, holding and trading bitcoin quickly.
Galaxy is a New York-based cryptocurrency investment firm. Mike Novogratz is the founder of the firm. It manages $400 million in assets. Anthony Scaramucci’s SkyBridge Capital, the New York Digital Investment Group (NYDIG) and ETF provider VanEck are some of the other companies who have applied for the product.
However, the SEC has rejected the Bitcoin ETF applications in the U.S. continuously. The SEC is concerned over the manipulation of the market. But the Bitcoin ETF exists somewhere else as it got approval in Bermuda in 2020. Canada has been very receptive to the Bitcoin ETF. There are three bitcoin ETF trading in Canada and hold a total of 16,600Bitcoin ($992million) between them.
Bitcoin ETF was the first to be launched in North America. It traded at $80million in its first hour more than many ETFs do in an entire ETF.
With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.
