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Despite Crypto Winter, Bitwise Files for Bitcoin Futures ETF in US: Report

Over a year after the first Bitcoinfutures ETF went live in the US, Bitwise has applied to launch its own such product.

This is despite the ongoing bear market in which prices have fallen and investor interest has evaporated.

  • Citing a filing with US regulators, the Bloomberg report informed that Bitwise’s product would be named Bitcoin Strategy Optimum Yield ETF under the ticker BITC.
  • Similar to the previously approved ETFs in the US, this one would not hold the asset directly. Instead, it would offer managed exposure to BTC futures contracts on the Chicago Mercantile Exchange (CME), as well as investments in short-term debt securities.

BITC’s strategy is designed so that its futures contracts do not automatically roll into the next available contract based on a predefined schedule, but rather into the one that “has the highest implied roll yield under current market conditions.” – reads the report.

  • The first Bitcoin futures ETF was approved by the U.S. Securities and Exchange Commission in October last year and generated over $1 billion in trading volume on its first day.
  • In the following months, several more such ETFs came onto the market. However, the market situation was very different back then.
  • Bitcoin and the rest of the crypto assets have been trading high, often drawing ATHs, and interest in the industry has been far more evident.
  • Most assets are now down as much as 90% from their respective highs. Demand is lower, which calls into question the timing of Bitwise’s submission.

Source: Crypto News Deutsch

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