• ARK Investment Management has amended its spot Bitcoin (BTC) exchange-traded fund (ETF) application with the United States Securities and Exchange Commission, making it similar to BlackRock’s recent filing.
• The amendments include a surveillance sharing agreement with the Chicago Mercantile Exchange (CME) futures markets and crypto exchange, most “likely Coinbase”.
• Bloomberg Intelligence ETF analyst James Seyffart confirmed that ARK’s request is the front-runner for a Bitcoin ETF.
ARK Invest Adds Surveillance Agreement to Application
ARK Invest and 21Shares have submitted their third application for a spot Bitcoin ETF which includes a surveillance sharing agreement with the United States Securities and Exchange Commission (SEC). This amendment makes their application similar to BlackRock’s recent filing.
Competition For First Bitcoin ETF in US
The race for the first Bitcoin ETF in the US has become more competitive as ARK’s filing update puts it ahead of its competitors. Bloomberg ETF analyst Eric Balchunas stated on Twitter that the most likely crypto exchange is Coinbase that will enter into this agreement with ARK.
Surveillance Agreement Put AKE Ahead Of Competitors
In an interview, Bloomberg Intelligence ETF analyst James Seyffart confirmed that ARK’s request is in pole position to be approved first due to their surveillance agreement which they added to their 19b-4 SEC filing. If approved, Coinbase may partner up with Blackrock becoming a BTC custodian should approval be granted.
Previous Attempts From AKE Denied By SEC
This isn’t AKE’s first attempt at getting approval from SEC as both previous applications were denied in 2021 and 2022 due to not meeting certain regulatory requirements for listing financial products.
Conclusion
Since ARK has amended its 19b-4 application adding a surveillance sharing agreement, they are now positioned as front runners for gaining approval of a spot BTC ETF from SEC before any other competitors do. However, even if they receive approval, another crypto exchange will need to be partnered up with them in order for them to become successful