Insured to a degree against theft or loss, the proposed VanEck SolidX Bitcoin Trust ETF aims to assuage the SEC’s concerns about cryptocurrency-linked financial products. The ETF would use a price index based on over-the-counter cryptocurrency trading desks located in the US, as opposed to the prices generated through trading activity on cryptocurrency exchanges.
UPDATED | June 6, 2018:
The Wall Street Journal reported[1] the proposed ETFs' price per share as $200,000. That's not quite right.
ETHNews heard from SolidX, which said, "A more accurate way of putting it is that the share price is expected to be approximately $200,000. There are 25 bitcoin per each ETF share, so the approximate price is derived by multiplying 25 bitcoin by the price of bitcoin (currently around $7,500), which gets you to the approximate $200,000 per share price."
For the record, 25 * $7,500 is not $200,000. It's $187,500. That's a $12,500 difference.
ORIGINAL | June 6, 2018:
Oh, bitcoin give me one more chance! Investment management company VanEck and financial services company SolidX have unfinished business.
On Wednesday, the firms joined forces, filing registration paperwork[2] with the Securities and Exchange Commission (SEC) to pursue an exchange-traded fund[3] (ETF) that would allow investors to purchase shares in a trust that holds bitcoin. If approved, the ETF would grant investors – ostensibly institutional buyers, rather than retail buyers – the opportunity to procure shares in the VanEck SolidX Bitcoin Trust. The companies' application form suggests that the shares would trade on the Cboe BZX Exchange.
Readers may remember that in March 2017, shortly after denying the Winklevoss twins'[4] bitcoin ETF proposal, the SEC cut short SolidX's pursuit of a bitcoin ETF. The agency
