$4.2 Trillion Dollar Asset Manager Fidelity Reportedly Files For Spot Bitcoin ETF

28 Jun 2023

Mitchell Nixon

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The world of finance was taken aback when reports emerged that BlackRock had submitted the required paperwork for a Bitcoin ETF placement. Conversely, the entire digital asset sector was pleasantly astonished, witnessing a surge in the asset’s price. And now, another colossal asset management firm is following the trend.

At the beginning of the trading day in the United States, there was a wave of positive news as Fidelity Investments, an asset manager managing assets worth over $4.2 Trillion, reportedly made preparations to file for the launch of its own Bitcoin ETF based on spot trading.

This follows on from earlier speculation that Fidelity was considering acquiring Grayscale and then submitting an application for a Bitcoin Spot ETF in the near future.

We did an article on that here.

Over the course of the last fortnight, BlackRock (BLK.N), WisdomTree (WT.N), Invesco (IVZ.N), VanEck, and Bitwise have submitted fresh applications to the U.S. Securities and Exchange Commission (SEC) for spot Bitcoin ETFs. As a result, the price of Bitcoin surged to a level exceeding $31,000 on June 23, reaching a high unseen for over a year.

We did an article on Blackrock here.

Additionally, HSBC over in Hong Kong has also recently released Ethereum and Bitcoin ETFs for Hong Kong traders. 

Furthermore, according to the report, this marks the second attempt by the asset management firm to introduce such an offering. Their initial filing in 2021 was named the Wise Origin Bitcoin Trust, but it was ultimately rejected by the US Securities and Exchange Commission (SEC) in 2022.

The report highlights that Fidelity has yet to make an official statement regarding this development. Nevertheless, the decision undoubtedly brings positivity to the industry and may ignite a competition for a spot Bitcoin ETF between two of the largest asset management firms globally.

The introduction of a Bitcoin ETF has been widely regarded as a pivotal moment for the industry. The significance is partly attributed to the size of the filing from these management firms, suggesting a potentially substantial institutional presence in the market. It is worth noting that Fidelity has been actively involved in the crypto space since 2018, demonstrating their familiarity with the industry.

2.3 Million BTC left on centralised exchanges according to the data.

If the ETFs are approved by the SEC, which remains to be seen, the great race for the last remaining Bitcoin could be well and truly on.