SEC lists eight updated 19b-4 filings as spot Bitcoin ETF process nears deadline

The U.S. Securities and Exchange Commission (SEC) began to publish notices of filing updates related to spot Bitcoin ETFs on Jan. 8.

As of 10:45 p.m. UTC, the SEC’s national securities exchange page listed amendments to eight 19b-4 filings detailing proposed rule changes.

Six of those updated filings concern proposed rule changes through which the Cboe BZX exchange intends to list and trade ETFs from WisdomTree, VanEck, Ark Invest, Franklin Templeton, Fidelity, and Invesco Galaxy. Another amendment concerns a proposed rule change through which NASDAQ intends to list and trade Valkyrie’s Bitcoin ETF. One other concerns a proposed rule change through which NYSE Arca intends to list and trade Hashdex’s ETF.

Currently, there are approximately one dozen applicants seeking a spot Bitcoin ETF, meaning that other amendments may arrive later.

The latest amendments largely address previous issues including concerns about whether relevant markets are of a significant size, the inclusion of surveillance-sharing agreements, and prevention of market manipulation.

Each notice indicates that exchanges submitted the relevant amendment to the SEC on Friday, Jan. 5. Earlier reports from Bloomberg suggested a similar timeline in advance of expected approvals around Wednesday, Jan. 10.

S-1 amendments also arrived Monday

Several spot Bitcoin ETF applicants additionally submitted amended registration statements including S-1/A and 8-A12B forms on Jan. 8.

BlackRock’s latest S-1 update notably emphasizes a lack of immediate in-kind creations and redemptions, which would have allowed certain ETF transactions to be carried out with Bitcoin instead of cash. It wrote:

“The timing of the In-Kind Regulatory Approval is unknown, and there is no guarantee that NASDAQ will receive … Approval at any point in the future. If NASDAQ receives the In-Kind Regulatory Approval and if the Sponsor chooses to allow in-kind creations and redemptions, the Trust will notify the owners of the beneficial interests of Shares …”

S-1 registration statements from BlackRock and other firms also contain new information including fee and seed funding details.

Most firms submitted nearly finalized S-1 amendments on or before a Dec. 29, 2023 deadline. As such, the latest amendments do not significantly change the structure of each application and instead mainly add details.