Following reports that the SEC could greenlight a Bitcoin Futures ETF as early as next week, the price of the cryptocurrency skyrocketed to a six-month high above $60,000.
Citing people familiar with the matter, Bloomberg said earlier on October 15th that the Securities and Exchange Commission has changed its year-long negative stance on BTC ETF.
The agency has rejected countless applications for an exchange-traded fund tracking the performance of bitcoin in the past several years. However, Bloomberg’s sources claimed that the Commission “isn’t likely to block” a Bitcoin Futures ETF from going live next week.
The particular product that is said to be approved is an application made by ProShares and Invesco LTD and, as the name suggests, is based on futures contracts.
The SEC’s Chair, Gary Gensler, previously asserted that the futures option provides “significant investor protection” because those contracts are filed under mutual fund rules.
It’s worth noting that the number of Bitcoin ETF applications surged this year in the US, following several approvals in Canada and Brazil.
Moreover, Bloomberg’s senior strategist Mike McGlone noted last month that the Commission could indeed greenlight a BTC Futures ETF by the end of October.
Shortly after today’s report went live, the price of the cryptocurrency reacted with a massive surge from $57,000 to $60,000. Thus, BTC tapped the $60,000 mark for the first time since mid-May.
BTCUSD. Source: TradingView