First Bitcoin ETF to list on US exchange today

Bitcoin jumped above $60,000 for the first time in six months following news that a bitcoin futures exchange-traded fund (ETF) will clear the U.S. Securities and Exchange Commission (SEC).

Bitcoin to 🚀: Crypto advocates and supporters have been pushing regulators to approve an ETF related to Bitcoin for years. It is expected to bring in a new class of investors into the digital currencies. Bitcoin ETFs allow investors to gain exposure to the leading cryptocurrency without having to own it. Since the SEC has rejected every previous application to date, this news is a milestone moment in the development of crypto.

The ProShares Bitcoin Strategy ETF will trade under the ticker “BITO.” This ETF will uncover bitcoin futures contracts but not the spot market. Didn’t get it? The spot price is the current market price of a particular asset in the spot market. In the Future market, one party agrees to buy a given quantity of securities or a commodity and take delivery on a certain date in the future.

Though there wasn’t a clear green signal from SEC, in such cases, once such registrations cross 75 days from the initial filing with no disagreement from the SEC, a product is clear to list. There wasn’t any comment from SEC making; it was the first ETF to get listed.

Since we are talking about ETFs, another Bitcoin ETF from Jacobi Investments will list on Cboe Europe, one of the largest pan-European equity exchanges, subject to Financial Conduct Authority (FCA) listing approval. The Jacobi bitcoin ETF has a $100,000 minimum and is only open to institutional, professional and sophisticated investors.

Instruments such as ETFs will bring a larger set of investors looking to ride the Bitcoin wave onboard.