Fidelity Revives Drive to Launch CBOE-Listed Spot Bitcoin ETF

Fidelity Renews Push For Spot Bitcoin ETF Listed on CBOE. Fidelity Investments, boasting a staggering $11 trillion in managed assets, is resolutely recommencing its endeavors to introduce a novel bitcoin exchange traded fund (ETF) on the CBOE exchange, as evidenced by an unprecedented filing submitted to the U.S. Securities and Exchange Commission (SEC) by the CBOE itself.

Key TakeAway

• Cboe has submitted a request to include a groundbreaking bitcoin spot ETF administered by Fidelity Investments.
• Fidelity had previously encountered a setback when the SEC declined their Wise Origin Bitcoin Trust proposal.
• Numerous conventional financial establishments have recently joined the competition to pioneer the inaugural bitcoin spot ETF in the United States, subsequent to BlackRock's application earlier this month.

Engaged in the quest to pioneer the inaugural bitcoin spot ETF in the United States, paralleling the submission by BlackRock earlier this month, traditional finance establishments have now stepped into the arena. Fidelity, mirroring the strides of conventional finance, finds itself in the midst of this pursuit for cryptocurrency.

Despite the SEC's previous rejection of Fidelity's Wise Origin Bitcoin Trust, this latest submission by Cboe implies that Fidelity is persisting in its efforts to obtain regulatory authorization for their bitcoin spot ETF.

This strategic move emulates the actions of other customary financial institutions, including Invesco and Wisdomtree, who have revived their formerly dismissed proposals.

Observant market participants have taken keen notice of these unfolding developments, recognizing their significance, primarily attributed to BlackRock's esteemed standing and the prevailing optimism surrounding regulatory sanction. This sentiment has resonated with investors, propelling bitcoin prices to unprecedented heights.

Over the years, numerous endeavors to introduce spot-bitcoin offerings have been made, only to face resistance from regulators who voiced concerns over market stability and safeguarding investor interests.

One of the reasons pundits have expressed bullishness regarding the approval of BlackRock's bitcoin spot ETF is the presence of a surveillance sharing agreement with an undisclosed U.S.-based bitcoin exchange, a framework also referenced in Cboe's recent submission.

Several other market participants, including Valkyrie, Bitwise, VanEck, and ARK Investment Management, harbor hopes of securing regulatory endorsement this time around. It is worth highlighting that traditional financial powerhouses have extended their involvement beyond this domain, with the recent launch of a cryptocurrency asset exchange supported by Charles Schwab, Fidelity, and other major players.

This newfound interest from established financial institutions has undeniably injected fresh vitality into the crypto market, reinvigorating it after the industry weathered the storm caused by SEC litigations against Binance and Coinbase, two prominent cryptocurrency exchanges.