Spot Bitcoin ETF Issuers in Fee War Ahead of Possible SEC Approval

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Spot Bitcoin exchange-traded fund (ETF) fee war has commenced before the US Securities and Exchange Commission (SEC) has even approved the product.

Spot Bitcoin ETF fees are as follows:  Ark is charging: 0.25%, Bitwise fees: 0.24%, BlackRock iShares is keeping its fees high at: 0.30%, VanEck at 0.25%, WisdomTree at 0.5%and 21Shares at 0.25%.

James Seyffart, ETF Research Analyst with Bloomberg Intelligence, highlights the, “lowest long term fee is Bitwise at 0.24% followed closely by VanEck at 0.25%. But we also have fee waivers on 3 for 6 months down to 0.0%. Plus BlackRock waiver to 0.20%”

WOW: This morning was wild for #Bitcoin ETF filers. Here’s the state of play on the fee war front. Lowest long term fee is @BitwiseInvest at 0.24% followed closely by @vaneck_us at 0.25%. But we also have fee waivers on 3 for 6 months down to 0.0%. Plus BlackRock waiver to 0.20% pic.twitter.com/8bfhtFHOfH

— James Seyffart (@JSeyff) January 8, 2024

This is a highly anticipated event which is expected to impact the price of Bitcoin.

It seems approval of a spot Bitcoin (BTC) ETF in the United States appears to be imminent, writes Aditya Das, market analyst at Brave New Coin, in his newsletter. Adding that the final deadline for at least one major ETF application, the Ark 21 Shares application, is January 10th. But analysts have suggested that the SEC may, for convenience’s sake, approve multiple applications on this date.

“In the last day, exchanges where the spot Bitcoin ETFs have applied for trading listed amended documents related to the applications. Market observers have suggested that this means the exchanges expect the US Securities and Exchange Commission (SEC) to approve the ETF applications in the coming days,” adds Das.

SEC Backed into Corner 


Bloomberg ETF analyst Seyffart said during a recent webinar that the SEC has been backed into a corner and may be forced into approving a spot Bitcoin ETF.

“The SEC is either going to have to come up with a new reason….Because you’ve been denying these ETFs for all these reasons. Courts said those reasons don’t matter anymore, and now you’re coming out with new reasons,” said Seyffart.

So far, two issuers, WisdomTree and VanEck, have successfully listed their ETFs on the Depository Trust & Clearing Corporation (DTCC). The latest Bitcoin ETF ticker listing happened just 2 days before SEC’s deadline to announce its decision on the Ark 21Shares Bitcoin ETF filing.

Bitcoin Price is Rising 


Meanwhile, the price of Bitcoin (BTC) experienced a notable surge, breaching the $47,000 mark on Monday and recording an 8% gain in the last 24 hours. This upward movement is attributed to optimistic sentiments surrounding the potential approval of the ETFs. The current value marks the highest trading point for the leading cryptocurrency in the past year, and speculations arise that an ETF approval could trigger a further bullish trend.

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