The post Valkyrie Files For Spot Bitcoin ETF And Includes Coinbase SSA, Strengthens Bitcoin’s $40K Journey appeared first on Coinpedia Fintech News

In a trailblazing move sure to excite the Bitcoin market, investment management firm Valkyrie has filed for a Spot Bitcoin Exchange-Traded Fund (ETF). The filing, which includes a partnership with leading cryptocurrency exchange platform Coinbase, bolsters Bitcoin’s journey toward a significant milestone – a $40,000 valuation.

Firms Remain Strong Despite SEC’s Rejection

Valkyrie Funds has joined the growing list of firms proposing spot bitcoin ETFs, intending to leverage a surveillance sharing agreement with cryptocurrency exchange giant, Coinbase.

Originally proposing the fund just a month ago, Valkyrie has ambitious plans to list its shares on Nasdaq. A recent 19b-4 filing from the exchange, dated July 3 and disclosed this Wednesday, earmarks Coinbase as a surveillance-sharing collaborator. This move is akin to several other applications that have been reintroduced over the preceding weeks.

The frequency of Spot Bitcoin ETF applications has notably increased since BlackRock first submitted its proposal earlier this month. Following closely in its footsteps was Fidelity, another titan in the asset management industry. Interestingly, both firms chose to include Coinbase in their respective SSA proposals. This move was designed to directly address the initial concerns raised by the SEC in response to their filings.

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The exchange said in the filing:

“Trading of Bitcoin on Coinbase represents a significant portion of US-based Bitcoin trading. According to the Sponsor, the Exchange aims to enter into a surveillance-sharing agreement with Coinbase, the operator of the largest United States-based spot trading platform for Bitcoin representing a majority of global spot BTC trading paired with USD.”

Bitcoin Price Reacts As It Surges

The digital asset sector was taken aback this month when asset management giant BlackRock announced its filing for a Spot Bitcoin ETF. The surprises didn’t end there, as another heavyweight, Fidelity, decided to join the Bitcoin ETF competition soon after. The entry of these two established players from the traditional finance world appears to have intensified the ongoing scramble for Bitcoin ETF dominance.

Eric Balchunas, an analyst at Bloomberg, pointed out that Valkyrie, much like BlackRock, has re-submitted a 19b-4 form. Balchunas observed that the language used in their Surveillance Sharing Agreement (SSA) seems to be “more assertive.” Additionally, he mentioned that Valkyrie has identified Coinbase as the “largest” spot Bitcoin exchange.

Following this news, Bitcoin price reacted slightly. The price has recovered from the bottom of $30.2K and is currently trading at $30,404, still down by 1.9% from yesterday’s rate.

However, the launch of this product hinges on the verdict of the SEC. As it stands, the regulatory body has not yet greenlit the establishment of a spot Bitcoin ETF. With the recent surge of filings, only time will reveal if this stance is going to shift.