Bitcoin ETF Inches From Finish Line: SEC Accepts 19b-4 Forms

Bitcoin ETFs are nearing the light at the end of the tunnel as the SEC starts accepting 19b-4 forms.

Eagle looking around with binoculars, Bitcoin ETF glowing in the background.
Created by Kornelija Poderskytė from DailyCoin
  • The SEC has unofficially approved Bitcoin Spot ETFs. 
  • Key players in the race for the ETF have completed one of the final steps in the regulator’s approval process. 
  • Despite the positive development, the market remained unswayed. 

The journey toward a Bitcoin ETF’s approval appears to be reaching its climax after four long months of regulatory anticipation and constant delays from the Securities and Exchange Commission (SEC). 

Experts are already raising their glasses to what they consider a triumphant victory, confidently declaring it ‘done,’ as the SEC finally shows the light at the end of the tunnel for the eagerly awaited Bitcoin ETF by accepting filings by exchanges. 

Bitcoin ETF Receives Unofficial Approval   

On January 5, key players in the race for the Bitcoin Spot ETF, including BlackRock, Grayscale, 21Shares, and others, submitted 19b-4 amendments in response to the SEC’s request. This significant development signals an important stage for the Bitcoin ETF, indicating that the regulator had no additional feedback and had unofficially approved their proposals.

The 19b-4 filing is one of the final steps in the SEC’s approval process, after which the asset managers will complete their S-1 documents for US Exchanges like NASDAQ to list shares of investment securities. 

According to senior Bloomberg analyst Eric Balchunas, the final S-1 documents from the asset managers are due 8 am on Monday as the SEC ensures everything is speckless before it announces its decision next week. 

Should asset managers complete their S-1 documents in time, the ETF is poised to start trading on Thursday. Experts anticipate at least 11 proposals to be approved. Still, despite the wait ending, the market’s reaction to the news has been less than exciting. 

Bitcoin Doesn’t Move Despite Positive ETF News

The crypto market remains stuck in a tight range despite the positive development. Bitcoin, in particular, is trying to recover from its fall earlier this week, struggling to close above 44,000. Subsequently, altcoins like Solana and Ethereum mirror this trend, bleeding slowly while the reigning crypto king navigates through turbulence. 

At press time, Bitcoin exchanged hands $44,000 with a trading volume exceeding $16 billion. Investors and market players are exercising caution, as open interest in perpetual futures contracts remains low, indicating a reluctance among investors to open new long positions after last month’s rally.

While the Bitcoin Spot ETF approval is an exciting development for the crypto industry, some analysts are unswayed by the prevailing optimism, warning that the market dynamics could turn the anticipated announcement into a ‘sell-the-news’ event

On the Flipside

  • There are rumors that BlackRock will buy $2 billion worth of bitcoin following the ETF approval.
  • The earliest deadline for SEC approval is January 10. However, the commission might extend this date if its decision-making process takes longer.
  • A January 3 Matrixport report projected a likely rejection of all Bitcoin ETFs, sending the crypto market into a price crash.

Why This Matters

The Bitcoin Spot ETF is a major leap forward for the crypto industry. The asset could bring in a lot of TradFi exposure to BTC, allowing it to surge even further. However, due to the SEC’s uncertain nature, there’s a lot of fear surrounding the regulator’s decision, with many speculating that it could introduce another delay. 

Read the latest DailyCoin regular edition on Cardano:
DailyCoin Cardano Regular: ADA Wipes New Year Gains Before Bitcoin ETF

Read more about Bitcoin’s price action:
Bitcoin Sell Orders Dominate the Market as ETF Results Loom 

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Insha Zia

Insha Zia is a senior journalist at DailyCoin covering crypto developments, especially in the Cardano ecosystem. With a Bachelor of Science in Computer Systems Engineering, he delivers high-quality articles with his technical background and expertise in data analysis and programming languages, aiming to educate and inform readers accurately, transparently, and engagingly. Insha believes education can drive mass adoption of the crypto space, and he is committed to giving DailyCoin readers a better understanding of the technology.