Category: ark invest

New tickers and ARK filing shows Bitcoin futures ETF approval imminent: Analyst

New tickers and ARK filing shows Bitcoin futures ETF approval imminent: Analyst

Bloomberg’s senior ETF analyst says there are “good” signs that a Bitcoin ETF will soon be approved, pointing to Ark Invest filing for a Bitcoin futures ETF with an assigned ticker and Valkyrie updating its own ETF prospectus with a ticker. Cathie Wood’s Ark Investment Management LLC filed for a Bitcoin (BTC) futures ETF under the ARKA ticker, while Valkyrie has assigned its BTC futures prospectus with the BTF ticker. According to Bloomberg analyst Eric Balchunas, firms typically update their proposals when they have everything set and “ready for launch,” suggesting that Valkyrie may soon be given the green light by the U.S. Securities and Exchange Commission (SEC).Balchunas also pointed to Ark Invests’ Bitcoin futures ETF application on Oct. 13 in partnership with 21Shares and whiteAlpha Architect white label, noting that the assigned ARKA ticker was “another good sign” that the SEC was set to give a tick. People keep asking me what I’m looking for first to confirm SEC approval and it is these type of updated prospectus filings. That’s what happens right bf a launch, they fill in all the XXs and add ticker. That said, this is bitcoin so WTF knows for sure lol.— Eric Balchunas (@EricBalchunas) October 13, 2021Referring to Valkyrie’s ETF, the analyst added that he looks for “these type” of updated prospectus filings when determining whether an official SEC greenlight is incoming, and said that applicants often update the final details “right before” launch. He conceded that with the crypto sector, nothing is certain however.Permabear Mr Whale downplayed the significance of the Ark Invest news saying all Ark did was update its “ARKW ETF prospectus” to say that it may gain exposure to BTC via exchange-traded funds in Canada. However Ark’s latest ETF filing with the SEC has no mention of the word “Canada” and the application clearly outlines that the fund is seeking to invest in “exchange-traded Bitcoin futures contracts that are cash-settled in U.S. dollars” on the Chicago Mercantile Exchange (CME). ALSO notable, this is the second straight filing to not have the word “Canada” in it. It ONLY invests in futures no BTCC or GBTC options. Rumor is SEC no like that and wants them to be strictly futures. pic.twitter.com/l8KTxFtWH8— Eric Balchunas (@EricBalchunas) October 13, 2021

The price of BTC has surged 28% since the start of October to sit at around $57,500 at the time of writing. Many onlookers have attributed the recent pump to expectations that the SEC will soon approve a futures-based Bitcoin ETF. Related: SEC Chair Gary Gensler actually is pro-Bitcoin, Volt Equity CEO arguesBalchunas stated earlier this month that Bitcoin futures-backed ETFs have a high chance of being approved in October. He argued that they are regulated under the “40 Act” which is favored by the SEC as it offers greater consumer protections than physically-backed Bitcoin ETFs regulated under the “33 Act.”“Yes, the SEC has kicked can on Bitcoin ETF approval BUT that is for the physically-backed ones under ’33 Act,” he said and added: “The futures ETFs filed under the ’40 Act (which Genz loves) are very much alive and likely on schedule (we think 75% chance approved in Oct).”Opinions vary however and Todd Rosenbluth, senior director of ETFs and mutual fund research at research firm CFRA argued this week he believes that approval of a BTC futures ETF may be delayed until 2022. Speaking on CNBC’s ETF Edge, Rosenbluth stated that the current clouded regulatory landscape could cause further delays and that the SEC could be waiting to approve all the ETFs simultaneously to avoid a “first-mover advantage.”“It’s possible — in fact, we think it’s likely — that we’re going to see a delay of a Bitcoin futures ETF until 2022 until the regulatory environment is more clear,” he said.

Ark Invest to split '60% Bitcoin, 40% Ether' as  confidence in ETH grows 'dramatically'

Ark Invest to split '60% Bitcoin, 40% Ether' as confidence in ETH grows 'dramatically'

Cathie Wood, the CEO of Ark Investment, has doubled down on her prediction that the price of Bitcoin will grow by tenfold in the next five years, and said the growth of DeFi, NFTs and the Eth2 upgrade has massively increased Ark’s confidence in Ether’s future.Wood’s prediction would value Bitcoin at almost $500,000 by 2026. She said that Ark Investment’s future exposure to crypto was likely to be around 60% Bitcoin and 40% Ethereum.Wood made the comments Monday, during a live stream at the SALT Conference in New York. Her BTC price thesis is based on more companies adding Bitcoin to their balance sheets and institutional investors allocating around 5% of their portfolios towards Bitcoin or other cryptos.In her view, Bitcoin still remains the default currency of the crypto space with El Salvador deeming it legal tender and other countries of Central America signalling they may follow soon. But she said Ethereum is becoming more and more attractive as an investment thanks to the explosion in developer activity related to NFTs and DeFi. “I’m fascinated with what’s going on in DeFi, which is collapsing the cost of the infrastructure for financial services in a way that I know that the traditional financial industry does not appreciate right now,” she said. “Our confidence in Ethereum has gone up dramatically as we have seen the beginning of the transition from Proof-of-Work to Proof-of-Stake.”Ark Investment manages several actively exchange-traded funds with a focus on disruptive innovation. It has significant investments in Coinbase and shares in the Grayscale Bitcoin Trust, Wood has spoken frequently about her enthusiasm for Bitcoin.Related: Bitcoin bull run sparks $180K BTC price prediction ahead of institutional ‘fireworks’Wood said that from past experience she believed no regulator, including new SEC chair Gary Gensler, would want to be blamed for preventing the next big tech breakthrough. “I’m very happy he understands crypto and the merits of Bitcoin in particular — he is a regulator though and he is a hardcore regulator.”Wood believes the SEC’s threats to pursue legal action against Coinbase regarding the launch of a stablecoin yield product highlights that the crypto ecosystem is developing faster than the regulators have been able keep up with.In her view, Coinbase shouldn’t be especially worried. Wood highlighted how in October 2019 Canada’s largest Bitcoin and digital asset fund manager received a favorable ruling from the Ontario Securities Commission (OSC) to offer a publicly-traded Bitcoin fund.

Ark Invest’s Cathie Wood Doubles Down on $500K Bitcoin Prediction, Discusses Crypto Regulation

Ark Invest’s Cathie Wood Doubles Down on $500K Bitcoin Prediction, Discusses Crypto Regulation

Ark Investment Management CEO Cathie Wood expects the price of bitcoin to be more than $500,000 in five years’ time, which is over 10 times what it is today. She also shared her view on cryptocurrency regulation and Coinbase’s trouble with the U.S. Securities and Exchange Commission (SEC).
Cathie Wood’s Ark Invest Predicts $500K Bitcoin
Cathie Wood, the CEO of Ark Investment Management (Ark Invest), discussed bitcoin and crypto regulation in an interview at the SALT conference Monday. Wood is also the firm’s founder and CIO.
She was asked what bitcoin will be worth five years from now. Wood replied, “If we are right and companies continue to diversify their cash into something like bitcoin, institutional investors start allocating 5% of their funds into … bitcoin, or other crypto,” then:
We believe that the price will be tenfold of where it is today, so instead of $45,000, [it would be] over $500,000.
Wood also commented on cryptocurrency regulation. Based on her meeting with state, local, and federal regulators, she described: “Our working assumption from the beginning was that … no regulator wanted to be blamed for preventing the next big technology breakthrough to happen in the U.S.”
She proceeded to say she is “really happy” that the chairman of the SEC, Gary Gensler, “understands crypto and understands the merits of bitcoin in particular.” Nonetheless, she noted, “He is a regulator though and he’s a hardcore regulator.”
The CEO of Ark Invest then talked about cryptocurrency exchange Coinbase’s trouble with the SEC regarding its lending product, noting that she “was shocked” to hear that Coinbase received a Wells Notice. “Are you kidding? They haven’t even released the product. What is this?” she exclaimed.

Coinbase revealed last week that it received a Wells Notice from the SEC. However, the exchange said that it does not know what problem the SEC has with its Lend product. “We don’t know why … We got no explanation from the SEC,” the exchange wrote.
“I think what that Wells Notice is doing, it’s a call out by regulators saying we got to discuss this stuff because this is happening very quickly and I think we are going to bring courts into the system,” Wood opined, adding:
This happened in Canada. A company called 3iq sued the regulator there and won in court so they were able to issue bitcoin ETFs [exchange-traded funds], and closed in funds and ether as well.
She concluded: “So, I’m beginning to think that Coinbase doesn’t mind it at all and if you saw the stock reaction, it hardly budged.”
When asked which cryptocurrency she would invest in if she could pick just one, Wood said she would default to bitcoin “because countries are now deeming it legal tender.” The Ark Invest executive is referring to El Salvador where the country’s Bitcoin Law went into effect on Sept. 7 making BTC legal tender alongside the U.S. dollar.
Do you agree with Cathie Wood? Let us know in the comments section below.

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ARK Invest CEO: Bitcoin In “Capitulation Phase,” Still Set For $500k

ARK Invest CEO: Bitcoin In “Capitulation Phase,” Still Set For $500k

Bitcoin is still up in price despite the recent dips and the predictions have not slowed down. If anything, they have become even more prominent. Famed CEO of ARK Invest Cathie Wood has always been bullish on Bitcoin. The CEO earlier in the year had given what some would call an optimistic prediction for the asset. But to Wood, this is not too optimistic. When asked about her prediction, Wood explained that she and her firm still stand by the prediction.
Cathie Wood’s earlier prediction had seen the CEO putting a future forecast for the asset’s price at $500,000. Pointing to market indicators, Wood pointed that they “are all suggesting that we are in a capitulation phase, which is a really great time to buy. No matter what the asset is.” This shows that regardless of Bitcoin’s current price tag, the CEO still sees it as a buying opportunity.
Related Reading | Why An 18% Drop In Bitcoin Could Still Be Bullish
Doubling Down On The Prediction
Wood told Bloomberg in an interview that the firm continues to stand by its conviction for the future of the digital asset. The high future price prediction does not seem to phase the CEO, neither does the current price.
While bitcoin levels are currently on the high side, it is no secret that the digital asset price is still a long way from reaching $500,000. Nonetheless, Cathie Wood still stands by this prediction. When asked about the prediction, the CEO said, “Yes, our conviction is as high.” In reference to the work done by her firm’s crypto analyst, Wood said of the forecast, “We do. I do,” when asked if she and her firm still stands by the forecast.

BTC price trailing along $47K | Source: BTCUSD on TradingView.com
Wood also took time out to comment on the environmental impact of bitcoin mining. “The one thing that has changed here, however, is the environmental concerns around bitcoin, in particular, have caused people like Elon Musk to pull away and say, ‘Woah, let me make sure I understand this.’” This is in reference to Musk’s company Tesla removing the option to pay with bitcoin, after only implementing it about a month prior, citing environmental impacts of the mining as the major reason.
ARK Invest Bitcoin Investment.
Wood’s firm ARK Invest has vested interest in the infamous Grayscale Bitcoin Trust. At the time of this writing, the firm currently owns more than 7 million shares in the trust. The firm has slowly increased its stake in the trust over time. A month ago, ARK Invest bought 2.14 million shares again in the trust, putting in another $10.8 million into Grayscale.
Related Reading | Puell Multiple: The Bitcoin Metric That Says BTC Miners Aren’t Ready To Sell
CEO Cathie Wood is well-known for taking risky bets with investing, which usually have worked out in the favor of her clients. So it is no surprise that Wood has turned her attention to an asset considered a risky bet. But for all intents and purposes, Wood is not investing in Bitcoin for the short term. Rather, the firm is in it for the long term, as Wood sees the asset going up as high as $500,000 in coming years.
Featured image from Verdict, chart from TradingView.com

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