To Discuss The Spot Bitcoin ETF Application, The SEC And Fidelity Convene

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Fidelity Investments

Fidelity and the US SEC convened to discuss Fidelity’s WOBT application, going over product operating functions and schematics. Fidelity Investments and the United States SEC recently met to discuss the latter’s spot Bitcoin BTC symbols below the $42,108 ETF application. The SEC has sought further clarification on the matter.

Six SEC employees, nine Fidelity employees, and two representatives of the Cboe BZX Exchange gathered to talk about the operations of the WOBT, according to a document released on December 7. The file included PowerPoint presentations used in the meeting to show how the Bitcoin ETF operates.

Fidelity’s Proposal Regarding The Same Last Year Has Been Denied Once Already

The submission suggested the most successful course of action to the US regulator, stating that arbitrage and hedging are more effective using tangible creations: “Encouraging physical production and redemption is essential to improving secondary market pricing and trading efficiency for all parties involved.”

On June 19, just after BlackRock and a few other fund administrators filed for the product, Fidelity filed a spot BTC ETF proposal to the SEC. Nonetheless, their proposal for a spot BTC ETF in 2022 was already denied by the SEC. This is in response to recent reports that the SEC is holding meetings with prospective Bitcoin ETF candidates to go over several application-related topics. 

According to intimate information within the sector, the media recently claimed that the talks included specifics around U.S. exchanges issuing units of a spot BTC ETF. Nonetheless, documents made public by the Securities and Exchange Commission in November revealed that the commission had separate meetings with officials of Grayscale and BlackRock.

The approval date of a spot Bitcoin ETF has been the subject of considerable conjecture in the recent past. Among the 13 asset managers who applied, Hashdex predicts the first U.S. spot Bitcoin ETF will launch in the second quarter of 2024.