TL;DR Breakdown
ProShares has filed for a new Short Bitcoin Strategy exchange-traded fund. The registration statement has been submitted to the Securities and Exchange Commission.
ProShares is known for issuing exchange-traded funds, including inverse exchange-traded funds. Recently, the organization was approved to launch a Bitcoin exchange-traded fund (or ETF) based on Bitcoin futures, and it’s trading under the New York Stock Exchange (NYSE). New reports indicate the firm may not be done with cryptocurrency ETFs, as it has filed to register a Short Bitcoin Strategy ETF.
ProShares applies for Short Bitcoin Strategy ETF
As per the data revealed by Eric Balchunas, Senior ETF Analyst for Bloomberg, ProShares has filed for a Short Bitcoin Strategy ETF with the US Securities and Exchange Commission. It is crucial to note that the ETF issuer has constantly been trying to get an ETF related to Bitcoin prices approved by the SEC, but a similar request from the firm was shot down last year. It seems that the firm is trying out new approaches.
As per the filing report revealed by Balchunas, the ProShares Short Bitcoin Strategy ETF will trade under the ticker $FUD or $NGMI if approved, and it will “track the inverse performance of an index of Bitcoin futures.” It is a fact the SEC definitely takes its time when it comes to covering the details and opening such applications to public discussions. We will have to wait out and see if the SEC approves this new application from the firm behind the $BITO ETF.
Experience might come in handy
As previously reported by CryptoPolitan, ProShares’ $BITO ETF was the first Bitcoin futures ETF approved by the SEC in 2021 and traded on the New York Stock Exchange (NYSE). It’s speculated that ProShares’ newest filing is more likely to be approved based on the company’s progress with the first Bitcoin ETF.
Furthermore, as rightly pointed out by Balchunas, the SEC doesn’t seem to have many issues with Bitcoin futures ETFs, and hence, it seems that ProShares has targeted the right spot this time. At the same time, other firms like Grayscale are waiting for approval on their Bitcoin spot ETF, which has been the topic of one of the hottest debates among the crypto community. ProShares might remain ahead with their $BITO ETF, but the approval of spot ETF is what investors seek.
