VanEck and SolidX Launch Limited Bitcoin ETF for Institutional Investors

Despite the fact that earlier the SEC deferred all applications for bitcoin ETFs, VanEck and SolidX plan to launch a limited version of their ETF this week. Fund shares can only be purchased by financial institutions.

According to the report
The Wall Street Journal, VanEck Securities and SolidX Management, have chosen an unusual path to circumvent regulatory barriers in considering an application for Bitcoin ETFs. Earlier, the decision on the application was repeatedly delayed by the SEC.

Companies will benefit from the exception to the rules of the Securities and Exchange Commission, which will allow VanEck SolidX Bitcoin Trust shares to be offered to institutions such as hedge funds and banks, but not to retail investors.

Reportedly, the shares will begin to be sold from Thursday in accordance with SEC rule 144A, which allows trading in private securities among “qualified institutional buyers” with shorter holding periods and without the need to register with the SEC.

To date, the SEC has not approved a single cryptocurrency ETF, although SEC Commissioner Robert Jackson expressed confidence in the spring that the ETF proposal “ultimately” will meet SEC standards.

On August 12, the SEC again postponed decision making on Bitcoin ETF applications from Bitwise Asset Management, VanEck / SolidX and Wilshire Phoenix. The decision deadlines have shifted to the end of this month and to October.