ARK Investment Management LLC is making significant strides toward launching a Bitcoin spot ETF.

ARK Investment Management LLC is making significant strides toward launching a Bitcoin spot ETF. They’ve addressed the SEC’s concerns, particularly regarding Net Asset Value (NAV) calculations. The SEC questioned NAV calculations, as they didn’t align with Generally Accepted Accounting Principles (GAAP). ARK Investment has clarified that they determine the value of Trust’s Bitcoin using the Index, but it’s not in accordance with GAAP. Instead, Trust’s Bitcoins are carried at fair value, complying with GAAP.

In their amended proposal, ARK Investment has also highlighted that the Trust’s assets won’t co-mingle with customer assets. Instead, the assets are stored in segregated accounts on the Bitcoin blockchain or wallets. This update is seen as a positive sign and solid progress toward gaining approval for the Bitcoin ETF. It suggests that while approval isn’t imminent, issuers are engaging in a positive back-and-forth with the SEC.

The SEC’s delay in approving a Bitcoin spot ETF has kept the crypto community on its toes. However, after Grayscale’s court victory against the SEC’s rejection of their ETF application, optimism prevails. Multiple companies have urged regulators to expedite their ETF applications, further bolstering the hopes of an imminent approval.

Keep in mind that this information is for educational purposes and not financial advice. While these developments look promising, investing in cryptocurrencies remains subject to market risks, and readers are advised to use caution and do their own research.