VanEck and SolidX said to be preparing limited Bitcoin ETF offering

VanEck Securities and SolidX Management plan to launch a limited Bitcoin exchange-traded fund (ETF) offering that will not require a registration with the US Securities and Exchange Commission (SEC), The Wall Street Journal has reported.

The US securities markets regulator, has rejected a number of Bitcoin ETF proposal over the past couple of years. The proposal by VanEck and SolidX is one of three that currently await decisions by the watchdog. On August 12 the SEC postponed its decisions on the proposals. As a result, the final deadline for approving or rejecting VanEck and SolidX’s proposal was set to October 18.

According to the WSJ report, however, the two firms intend to start selling shares in their VanEck SolidX Bitcoin Trust from this Thursday. Reportedly, their plan is to use an SEC exemption that will allow the shares to be sold privately to “qualified institutional buyers” without registration. This will enable the companies to offer shares to institutions such as banks and hedge funds, but not to retail investors.

Some analysts and observers believe that a successful launch of Bitcoin ETF could be the catalyst for Bitcoin’s next bull run. While the original cryptocurrency has enjoyed an impressive recovery this year, it hasn’t been able to secure a lasting break above the $12,000 mark. The coin finished August below the $10,000 mark after suffering a steep price drop last Wednesday.

BTC’s performance has improved significantly since the start of September, which has allowed the coin to retake the key $10,000 level. The coin’s strong performance on Monday led to a close of $10,346.76, which was well above the coin’s opening level of $9,757.47.

Bitcoin experienced another sharp increase in today’s afternoon trading, with its price breaking through the $10,700 barrier for the first time since August 21. As of 15:46 BST, the Bitcoin price stood at $10,719.84, up 8.3% from the same time yesterday.

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