Share this article

Gensler Reiterates Support for Futures-Based Bitcoin ETFs

The SEC chairman struck a similar tone in August, igniting a rush in tailor-made ETF filings.

Updated Mar 9, 2024, 2:00 a.m. Published Sep 29, 2021, 9:41 p.m.

WASHINGTON, DC - SEPTEMBER 14: Gary Gensler, Chair of the U.S. Securities and Exchange Commission, testifies before a Senate Banking, Housing, and Urban Affairs Committee oversight hearing on the SEC on September 14, 2021 in Washington, DC. (Photo by Evelyn Hockstein-Pool/Getty Images)

U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler reiterated his support Wednesday for a narrow class of bitcoin exchange-traded funds (ETFs) that would invest in futures contracts instead of the crypto itself.

Gensler singled out bitcoin ETFs, which invest in futures contracts that trade on the Chicago Mercantile Exchange and register under the Investments Company Act of 1940. The so-called ‘40 Act “provides significant investor protections,” he said in prepared remarks for a Financial Times conference: “I look forward to staff’s review of such filings.”

STORY CONTINUES BELOW

Don't miss another story.Subscribe to the State of Crypto Newsletter today. See all newsletters

By signing up, you will receive emails about CoinDesk products and you agree to our terms of use and privacy policy.

He struck a similar tone in an August speech that ignited a rush in tailor-made bitcoin futures ETF filings. None has been approved by the SEC, but industry observers expect decisions as early as October.

The SEC is reviewing almost two dozen ETF filings for bitcoin, bitcoin futures, ether and ether futures products.

Investors haven’t been quite as eager to plow into bitcoin futures-linked products. One bitcoin futures mutual fund has amassed only $15 million in assets two months after launch, according to a tweet from Eric Balchunas, an analyst for Bloomberg.

The Bitcoin futures mutual fund that launched 2mo ago only has $15m in aum, VERY LOW considering the pent up demand. Here's a look at first 43 days of $BTCFX vs $BTCC (physical) in Canada (whose mkt is 27x smaller btw). Not sure if MF or futures is problem but poss bad sign.. pic.twitter.com/d3WwPxnpuG
— Eric Balchunas (@EricBalchunas) September 29, 2021

SEC Gary Gensler Bitcoin Futures Bitcoin ETF

Danny Nelson

Danny is CoinDesk's managing editor for Data & Tokens. He formerly ran investigations for the Tufts Daily. At CoinDesk, his beats include (but are not limited to): federal policy, regulation, securities law, exchanges, the Solana ecosystem, smart money doing dumb things, dumb money doing smart things and tungsten cubes. He owns BTC, ETH and SOL tokens, as well as the LinksDAO NFT.