Bitcoin ETF decision may be ‘imminent’ as Grayscale files exchange registration form: Bloomberg Analyst

Two hopeful ETF candidates, Grayscale and Fidelity, have filed their form 8-A with the U.S. Securities and Exchange Commission (SEC), marking significant steps forward in the ongoing efforts to establish a spot Bitcoin ETF. These filings are crucial as they signify the registration necessary for issuers to trade on an exchange upon receiving approval.

Following closely on the heels of Fidelity, who filed on Jan. 3, Grayscale’s filing today highlights its continued pursuit of converting its flagship Grayscale Bitcoin Trust (GBTC) into a spot bitcoin ETF. This move is part of a broader trend, with several prominent firms actively engaging in efforts to launch a spot Bitcoin ETF within the past year.

Current providers in the race for the first spot Bitcoin ETF include BlackRock, VanEck, Grayscale Investments, Hashdex, Valkyrie, Fidelity, Invesco, WisdomTree, Ark 21 Shares, Tuttle Capital Management, and Franklin Templeton. As of press time, only Grayscale and Fidelity have filed their 8-A.

What is an SEC Form 8-A?

SEC Form 8-A, also known as the Registration of Certain Classes of Securities, is a document required by the SEC from companies seeking to register securities before they can be offered on an exchange. This form requires a description of the type of securities provided, issuance details, distribution date, and terms. It also requires information about the issuer, including the exact name of the entity registering the securities, the jurisdiction of incorporation, and other essential details.

Traditionally, in the context of ETFs, the process begins when a prospective ETF manager, known as a sponsor, files a plan with the SEC to create an ETF. Once the plan is approved, the sponsor forms an agreement with an authorized participant empowered to create or redeem ETF shares.

A Form 8-A is typically filed when an ETF is approved. This form must be submitted before securities can be offered on an exchange. It becomes effective automatically 60 days after filing. If a class of securities is concurrently being registered under the Securities Act, the form becomes effective upon the effectiveness of a Securities Act registration statement. It is crucial to note that while filing this form is a necessary step in registering securities, it can be done in anticipation of approval and does not indicate that approval has been granted.

For example, in the case of a Bitcoin Strategy ETF, the company Valkyrie filed an 8-A with the SEC on Oct. 15, 2023, after the plan…