Bitwise Asset Management is seeking to list its crypto index fund on OTC Markets
Bitwise Asset Management is working towards getting its crypto index fund listed on OTC Markets (OTCQX).
On Friday, the agency notified traders that it has began the method of itemizing shares of the Bitwise 10 Index Fund on OTCQX beneath the SEC-regulated Alternative Reporting Standards.
According to Bitwise CEO Hunter Horsley, the agency will quickly file a Form 211 with the Financial Industry Regulatory Authority (FINRA) and expects the approval to come within the second half of 2020. After that, traders can begin buying and selling shares of the index fund on common platforms like Charles Schwab or TD Ameritrade.
“It’ll be the first index product publicly tradable through brokerage accounts,” Horsley advised The Block. “That adds a lot of simplicity for investors to not have to go outside of their traditional toolset.”
“It also opens up a second market in which any investor can trade the shares,” he continued. “We’re working with OTC Markets to facilitate that second market and then shareholders of the fund can trade with the investing public. And non-accredited investors can also have access to shares.”
The Bitwise 10 Index Fund presently contains bitcoin, ethereum, XRP, bitcoin money, litecoin, EOS, tezos, stellar lumens, ADA and ethereum basic, which, in accordance to Horsley, collectively account for 85% of the market per market cap.
Notably, Grayscale Investments in Oct. 2019 obtained regulatory approval to list its personal crypto index fund, Digital Large Cap Fund, on OTCQX.
Bitwise continues to work on its Bitcoin ETF proposal
Bitwise withdrew its bitcoin ETF proposal this previous January after first submitting for approval early 2019. Other companies additionally skilled difficulties in attempting to construct their very own bitcoin ETF merchandise.
Cboe BZX Exchange, for instance, pulled again its VanEck/SolidX bitcoin ETF proposal after the SEC repeatedly postponed the choice deadline. Most lately, the SEC rejected a proposal for the United States Bitcoin and Treasury Investment Trust from New York-based agency Wilshire Phoenix. That rejection drew a dissenting assertion from commissioner Hester Peirce, who mentioned the transfer “is the latest in a long string of disapproval orders that the Commission has issued regarding bitcoin-related products.”
In a latest episode of The Scoop, Bitwise COO Teddy Fusaro advised The Block that the agency has not given up on its effort and plan to refile the proposal sooner or later since there is an actual demand for accessing bitcoin merchandise in a brokerage account.
Horsley confirmed that Bitwise continues to work towards a bitcoin ETF launch and hopes to list the product alongside the Bitwise 10 Index Fund as another choice for traders.
“We’ve been working on it throughout the beginning of the year,” he mentioned. “And we’re committed to working with the SEC on getting to a place where they’re comfortable approving a bitcoin ETF.”