The US SEC will decide on the application of the investment company VanEck to launch an exchange-traded fund (ETF) based on the first crypto within the next 45 days.
The regulator can either approve or reject the company's request or extend the review period to 240 days. Stakeholders will have 21 days to submit comments.
In addition to VanEck, WisdomTree, NYDIG, Bitwise, and Valkyrie Digital Assets have applied to launch a Bitcoin fund. At the time of writing, the commission has rejected all requests, citing, among other things, the potential for price manipulation.
Expectations for Bitcoin ETF approval have risen after US President Joe Biden nominated ex-CFTC chief Gary Gensler to chair the SEC.
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Earlier, the founder of the crypto bank Galaxy Digital, Mike Novogratz, predicted that the regulator would approve a Bitcoin ETF in 2021.
Galaxy Digital has already launched a similar investment vehicle in Canada with CI Global Asset Management.
In February, the Ontario Securities Commission granted launch permits for Bitcoin ETFs to Purpose Investments and Evolve Funds Group. The first such ETF in North America increased $421M within two days of trading.