Low Fee Competition Sparks Up Among Blackrock and Others Ahead of ETF Approval
Spot Bitcoin ETFs Close to Approval: Key Firms File Final Forms, Reveal Competitive Fees, Awaiting SEC Decision.
Many companies are close to possibly getting approval for their spot bitcoin ETFs. They've all filed important S-1 forms.
BlackRock, Ark Invest/21Shares, VanEck, and others revealed their fees in these filings. BlackRock's fee is 0.3%, but it will be lower at 0.2% for the first year or until the ETF reaches $5 billion. VanEck’s fee is 0.25%, while WisdomTree charges a higher 0.5%.
Bloomberg analyst Eric Balchunas commented on BlackRock's competitive fee. He thinks this low fee will make it hard for others with higher fees.
Ark/21Shares lowered its fee from 0.8% to 0.25%, following BlackRock's lead. Balchunas noted this big drop, saying it's necessary to compete with BlackRock.
The companies have also submitted their final 19b-4 forms. This includes new proposals from Grayscale, Valkyrie, ARK 21Shares, and Invesco. Cboe BZX exchange also filed for VanEck, WisdomTree, and others.
Now, it's up to the SEC to approve these forms. If approved, trading could start the next day.
