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SEC Receives Another Request For Bitcoin Futures ETF

Published 08/17/2021, 11:30 AM
© Reuters.  SEC Receives Another Request For Bitcoin Futures ETF
BTC/USD
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  • Galaxy Digital files for a Bitcoin futures ETF.
  • The SEC is yet to approve this as well as many other requests.
  • Canada and Brazil have already approved many ETFs

Galaxy Digital is getting in on the growing popularity of US Bitcoin futures Exchange Traded Funds (ETFs). To do so, its leader — Mike Novogratz, has filed for a Bitcoin futures ETF.

In detail, Galaxy Digital filed it with the US regulator — the Securities and Exchange Commission (SEC). The filing is done under the Investment Company Act of 1940.

Such a fund allows the company to invest in futures instead of a direct investment in Bitcoin. With a futures contract, investors can exercise a set obligation. Once the time comes, a futures contract allows the investor to access the asset in the form of buying and selling. Hence, this is a type of derivative.

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