Swiss asset manager Pando Asset is seeking SEC approval for a Bitcoin spot ETF, a step toward integrating cryptocurrencies into mainstream finance.
Swiss asset manager Pando Asset has filed for approval of a spot Bitcoin ETF with the US Securities and Exchange Commission (SEC). The proposed Pando Asset Spot Bitcoin Trust, if approved, would list on the Cboe BZX Exchange, leveraging Coinbase as its custodian.
The trust plans to use CME’s CF Bitcoin reference rate for Bitcoin (BTC) pricing.
Pando’s move aligns with its current offerings in Europe, where it offers exchange-traded products that track major cryptocurrencies on the SIX Swiss Exchange. This expansion suggests a strategic move to serve a broader range of investors globally, especially in the cryptocurrency market.
However, the SEC has historically been cautious about crypto spot ETFs, delaying or not approving similar proposals from prominent asset managers such as BlackRock, Fidelity, and ARK Invest, among others. The cautious stance is attributed to concerns over market volatility, liquidity, and potential manipulation in the crypto space.
Recent developments indicate a possible shift in the SEC’s approach, as Franklin Templeton and Hashdex’s applications have entered a public comment period, suggesting an expedited review process. Additionally, the SEC’s recent meetings with representatives from Invesco and BlackRock underscore the ongoing dialogues and negotiations. BlackRock’s proposal to address the SEC’s concerns regarding the balance sheet impacts and risks associated with in-kind models exemplifies these efforts.
Scott Johnsson of Van Buren Capital suggests that BlackRock’s proposal to create an account receivable of cash from overseas market makers to in-country market makers, thus ensuring the cash remains within US jurisdiction .US, may alleviate the SEC’s concerns.
