- Grayscale Investments is hiring an ETF team, in a sign it expects the US to approve crypto exchange-traded funds.
- The digital asset manager doesn’t currently have an active filing with the SEC for a crypto-related ETF.
- Canada has already approved three cryptocurrency ETFs that trade on the Toronto stock exchange.
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Grayscale Investments, the largest digital currency asset manager, has posted nine ETF-related job ads on LinkedIn, in a sign it expects the Securities and Exchange Commission to approve the first US crypto ETF.
Crypto ETFs have been hotly debated in the US ever since the Winklevoss twins’ filing of their bitcoin ETF with the SEC was rejected in 2017. The SEC has so far been arguing that the crypto market is too volatile, lacks sufficient surveillance, and is easily manipulated.
The US regulator is now considering ETF applications from WisdomTree, NYDIG, VanEck, and Valkyrie Digital Assets. Grayscale has filed to launch an ETF in the past, but it does not currently have an active filing with the SEC for a bitcoin, or crypto-related ETF. However, it could push its $US35 ($45) billion Bitcoin Trust, the largest of its kind, into an ETF.
“We’re not able to provide further detail aside from the fact that we are continuously exploring new opportunities, such as an ETF, in response to customer demand,” Michael Sonnenshein, Grayscale’s CEO and managing director, told Bloomberg. “We were the first to provide exposure to a digital asset through a regulated wrapper, and our goal is to ensure that we lead the market in whatever future product we bring forward as well.”
Grayscale’s new roles require between three and five years experience in financial positions involving exchange-traded funds. The job postings as seen on LinkedIn currently include an ETF market-maker relationship manager, an ETF finance reporting manager, ETF finance support manager, ETF creation and redemption specialist, ETF authorized participant relationship manager, ETF product development specialist, a compliance officer, and two sales director positions.
Regulated ETFs aren’t too far away, as Canada approved three publicly-traded bitcoin ETFs within the last month that trade on the Toronto Stock Exchange.
Ark Invest’s Cathie Wood told CNBC in February she expects the US to greenlight a bitcoin ETF, as she’s confident in President Joe Biden’s pick for SEC chairman, Gary Gensler, who is seen as a positive for cryptocurrencies. The Senate banking committee on Thursday voted in favour of sending Gensler‘s nomination to the floor for confirmation.