- Fidelity has surprised no one by filing for a Bitcoin ETF
- The asset manager had been tipped to join the race in the coming days
- This takes the number of applications to seven
Asset management giant Fidelity surprised no one yesterday by filing for a spot Bitcoin ETF, bringing the number of applications to seven, with five applied for in the last two weeks alone. Speculation had been rife that Fidelity was on the verge of refiling for a Bitcoin ETF following BlackRock’s surprise application earlier this month and yesterday it followed through, more than a year after its previous effort was rejected. Fidelity aims to partner with Cboe Global Markets in order to offer the ETF, which it hopes will satisfy the SEC’s concerns over market surveillance.
SEC Wants “Comprehensive Surveillance-sharing Agreement”
Boston-based Fidelity, which has approximately $11 trillion in assets under administration and millions of customers, has a history with crypto going back to 2018 when it first announced its desire to enter the crypto ring. It has since offered a number of products to its many clients, including a retail-focused platform, but a spot Bitcoin ETF is the prize it seeks above all.
Its previous application for the Wise Origin Bitcoin Trust was rejected by the SEC in 2022, with the agency since saying that a “comprehensive surveillance-sharing agreement” must be in place for the SEC to even consider a Bitcoin ETF. Fidelity believes it has achieved this through its use of the Cboe as a partner, with an unnamed crypto exchange also potentially involved.
From Two to Seven
This move by Fidelity represents the latest addition of a prominent traditional finance company entering the race, following BlackRock’s notable application for a spot ETF on June 15. BlackRock’s entry into the space has encouraged other firms to pursue similar ventures, with the number of current Bitcoin ETF applications suddenly closing in on double figures:
Some market observers have interpreted the moves from the likes of BlackRock and Fidelity as a sign of confidence in obtaining regulatory approval, although this is at odds with the SEC’s current thoughts on crypto.
