Numerous companies have sought to launch a bitcoin-tied ETF, but to date, all of them have failed in the face of regulatory resistance.
Bitwise Asset Management is one such fund manager, which withdrew its proposal for a bitcoin-linked fund after it had been filed with Securities and Exchange Commission (SEC) in January. Indeed, the fight for a bitcoin ETF dates all the way back to Cameron and Tyler Winklevoss' attempt to launch one with Cboe.
The idea behind a bitcoin ETF is that it would offer an onramp for investors who want exposure to bitcoin but are uninterested in holding BTC themselves. In this episode of The Scoop, Bitwise COO Teddy Fusaro joins us to discuss the elusive bitcoin ETF.
Fusaro and The Block's Frank Chaparro talk about:
- The history of the bitcoin ETF movement
- The reasons why regulators aren't keen on approving one, such as market manipulation and the lack of cross-exchange market surveillance
- How demand for a bitcoin ETF has translated into a premium for Grayscale's GBTC product and how traders can cash in on the premium
- Bitwise and why Fusaro views it as an asset-manager and educator in the crypto market that unearths "hard truths"