Fidelity Investments Submits Revised Spot Bitcoin ETF Proposal To SEC — Here’s What's New

Fidelity Investments has become the latest firm to file a revised version of its spot Bitcoin exchange-traded fund (ETF) proposal. This latest move signals the asset management giant’s commitment to giving its customers exposure to the premier cryptocurrency.

Fidelity’s Amended Filing

Boston-based investment behemoth Fidelity has filed a second amended application for its spot Bitcoin ETF, the Wise Origin Bitcoin Trust.

The latest version, filed with the U.S. Securities and Exchange Commission (SEC) on October 17, specifies how it will safeguard customers’ Bitcoin holdings in custody accounts and reveals risks related to the rocky regulatory backdrop around crypto assets, among other minor adjustments.

Bloomberg senior ETF analyst James Seyffart said the changes are an indication of ongoing active dialogues between prospective ETF issuers and the SEC.

“More proof that potential spot Bitcoin ETF issuers are in communication with SEC regarding changes/amendments required for SEC to consider approving,” Seyffart said. “Positive signs IMO.”

The revised submission from Fidelity follows Ark Invest and Invesco, which also recently revamped their spot bitcoin ETF applications. Invesco submitted its revised prospectus on October 11, and Ark Invest a day later.

The Industry’s Eagerness

The SEC recently failed to appeal its August court loss over Grayscale’s bid to convert its flagship GBTC fund into a spot BTC ETF, igniting some hope among investors that the SEC might greenlight the application.

Speculation of a spot-based Bitcoin ETF being approved by the regulator mounted on Monday, pushing the Bitcoin price to $30,000. The reports turned out to be fake as BlackRock revealed that its filing was still being reviewed by the SEC. Nonetheless, BlackRock boss Larry Fink suggested that the recent Bitcoin price rally showed investors’ “pent-up” interest in cryptocurrencies. 

Meanwhile, Bloomberg analysts believe spot Bitcoin ETFs have a 90% chance of being allowed to launch by January 2024.

If the SEC approves these spot ETF applications, it could become a strong driver for the crypto industry, bringing in a new era of institutional investment and trustworthiness.

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