Galaxy Digital is now among the handful of groups that have filed for regulatory approval to offer a bitcoin ETF.
Galaxy Digital, a digital-asset-focused investment firm owned by Mike Novogratz, has submitted a bitcoin exchange-traded fund (ETF) proposal to the U.S. Securities and Exchange Commission (SEC). The move sees Galaxy Digital join a steadily growing list of applicants interested in regulatory approval to offer a bitcoin ETF in the U.S., though none have yet been approved.
Ever since recent management change in the SEC, several investment firms have submitted proposals to offer bitcoin ETFs, including Valkyrie Digital Assets, NYDIG and more. Now, Galaxy has joined the race, with plans to trade on the NYSE Arca and reflect the Bloomberg Galaxy bitcoin index’s performance, per the proposal.
It is still uncertain if any of the proposals submitted will be accepted, but the ETF market would represent a great coup for any cryptocurrency investment firm that manages to corner it. ETFs have several advantages as investment vehicles, including cheaper and more accessible shares. Though a bitcoin ETF would not offer bitcoin exposure directly, it would allow investors closer access to one of the greatest-performing assets in history.
For instance, the Purpose Bitcoin ETF, the first such product granted regulatory approval in North America, quickly broke investment records upon becoming available. Given bitcoin’s recent price performance and the influx of more typically risk-adverse investors into the BTC market, it’s more than likely that a U.S.-based bitcoin ETF would see immediate and sustained success.