Pando Asset AG is the thirteenth applicant, joining the race as the US Securities & Exchange Commission (SEC) engages in ongoing discussions with potential issuers.
Simultaneously, investment giant BlackRock has interacted with the nation’s securities regulator to present a revised ETF model, incorporating feedback received from the agency.
On November 29, Pando submitted a Form S-1 with the Securities and Exchange Commission, a form used for registering securities with the regulatory body, specifically for the Pando Asset Spot Bitcoin Trust.
We have a late entrant into the spot bitcoin ETF race…
Pando, who already offers crypto ETPs in Europe. pic.twitter.com/OamnqJrUNJ
— Nate Geraci (@NateGeraci) November 29, 2023
— Nate Geraci (@NateGeraci) November 29, 2023
Notably, Pando has already introduced crypto Exchange Traded Products (ETPs) across Europe, offering a diversified portfolio that isn’t heavily reliant on Bitcoin (BTC) and Ethereum (ETH). Instead, it includes four other assets like Cardano (ADA), Binance Coin (BNB), and Solana (SOL). This diversified range enables investors, through Pando ETP in Europe, to access various crypto assets with smaller market caps, providing potential growth opportunities.
Now venturing into the US ETF market, the Swiss issuer aims to capitalize on this upward trend. This strategic move aligns with ongoing discussions between major entities such as BlackRock and the SEC, highlighting the escalating competition in this domain.
According to recent updates, BlackRock engaged with the SEC’s Trading & Markets Division on November 28, unveiling a revised in-kind model.
Recent discussions at the SEC have favored cash transactions over crypto (in-kind) transactions. Despite this, following feedback from the November 20 meeting, several firms, including BlackRock and Ark Invest, advocate for in-kind transactions for spot Bitcoin ETFs. Their stance assumes that broker-dealers lack the infrastructure to handle Bitcoin, unlike exchanges.
However, if ETFs opt for cash transactions, primary institutional applicants for spot BTC ETFs, such as broker-dealers, would need to transact in BTC. ETF expert Eric Balchunas suggests this approach would ease restrictions, eliminating the necessity for institutional players to rely on unregistered subsidiaries or third-party entities to handle BTC transactions.
The competition leading up to January will be intense.
