The securities regulator called for comments on a proposal by the Cboe to list and trade the SolidX Bitcoin Shares, an ETF that was in turn proposed by the VanEck SolidX Bitcoin Trust, according to documents published Tuesday.
The trust will invest in bitcoin only, the document notes – as its net assets will “consist of bitcoin held by the Trust utilizing a secure process.”
The Cboe’s filings indicate that the Trust will invest solely in bitcoin and shares in the vehicle will subsequently reflect the world’s largest cryptocurrency’s price. While its operators will buy or sell bitcoin as needed, “the Trust is not actively managed,” according to the document.
SEC is asking for comments on this proposed rule change from “interested persons.”
VanEck CEO Jan van Eck said he believes bitcoin is “a legitimate investment option, as a type of ‘digital gold’ that may make sense for investors’ portfolios,” despite regulatory hurdles they’ve met previously.
While various companies have attempted to list bitcoin ETFs in the past, the SEC has forced withdrawals in every case. The regulator has previously stated that it is concerned with the cryptocurrency’s volatility and liquidity, among other issues.