Fidelity Investments, the American financial services corporation he urged the U.S Securities and Exchange Commission to greenlight its Bitcoin exchange-traded fund. As the company says, the regulator must allow their initiative as the investors are demanding digital assets, which can increase currently.
According to the recent filing, Fidelity Investments has pressurized the SEC to approve its initiative during a private meeting that took place on Sep 8th. People who participated in this conversation were the President of Fidelity Tom Jessop, along with 6 other executives of the company and SEC officials.
The representatives of the firm have cited many reasons based on why SEC should offer approval to such a product. The market of Bitcoin has gained momentum significantly. They have brought up all the surging demand for digital asset services from the inventors. They further said it would benefit the inventors from the opportunity to have direct exposure to BTC through an exchange-traded product.
Fidelity also pointed out that many regulators in the world have already approved similar funds. Fidelity started working with cryptos back in 2014. Since then, the firm has committed resources to build up a broad set with digital asset capabilities. It includes custody, mining, and private investment funds for BTC. Earlier in this year, they filed to launch a Bitcoin ETF-Wise Origin Bitcoin Trust.
Recently Gary Gensler, the chairman of SEC, has admitted that he is getting ‘intrigued’ with the cryptos pace. As the leader of the organization, he took the vow to be highly cautious so the investors from the field can have proper protection.
“While I’m neutral on the technology, even intrigued, I spend three years teaching it, leaning into it – I’m not neutral about investor protection. If somebody wants to speculate, that’s their choice, but we have a role as a nation to protect those investors against fraud.”
Several other companies are also on the waiting list to get the approval from SEC to launch an ETF that can offer bitcoin exposure and other cryptos. One of such companies is the international banking giant Goldman Sachs. It has also filed a prospectus with the watchdog. In August, the global investment management company VanEck sought approval from the SEC to release its Bitcoin Strategy ETF.