In a notable move, WisdomTree, a renowned exchange-traded fund (ETF) provider, has submitted an application for regulatory approval to introduce the WisdomTree Bitcoin Trust.
The trust aims to be listed on the Cboe BZX Exchange. This filing follows closely after BlackRock's recent application for a spot Bitcoin ETF, indicating a growing interest and acknowledgement of Bitcoin within the realm of traditional finance.
WisdomTree has outlined in its filing an investment objective centered on gaining exposure to the price movement of Bitcoin while taking into account the associated expenses and responsibilities of the ETF's operations.
The company plans to determine the value of shares on a daily basis by leveraging the CF Bitcoin US Settlement Price, which consolidates trading activity from prominent Bitcoin spot exchanges.
WisdomTree adopts a method that entails executing "in-kind" transactions with Authorized Participants, enabling them to deliver or facilitate the delivery of Bitcoin to the Trust's custodian, U.S. Bank, National Association. Despite the trust label, both WisdomTree's filing and BlackRock's filings operate as spot ETFs.
The successive filings from BlackRock and WisdomTree underscore the growing recognition of Bitcoin's potential within the realm of traditional finance.