Two new York firms, which in the past have unsuccessfully tried to obtain permission of the Commission on securities and stock exchanges of the USA on the opening of the OTC bitcoin investment funds, has decided to join forces by submitting a joint bid to launch a regulated cryptocurrency ETF. About it reports Wall Street Journal.

The appropriate application was submitted to the SEC on Wednesday, June 6. The new ETF has received the name VanEck SolidX Bitcoin Trust will be insured against theft and loss of access to funds. Also it will be linked to the new index from Van Eck, which is exchanges will collect the price of bitcoin with the US-based over the counter (OTC) platforms.

Notable for a relatively high share price VanEck SolidX Bitcoin Trust – their size, as stated in the application, is set at $200 000. Thus, we can conclude that the new ETF will be primarily aimed at institutional, not retail investors.

This was confirmed and CEO of SolidX Dan Gallancy, reminding that the representatives of the SEC have repeatedly expressed concern that the cryptocurrency market bears higher risks for retail investors.

Firm asset management VanEck Associates Corp and SolidX Management LLC previously filed an application to open a bitcoin ETF, but did so separately.

Application VanEck was filed in August 2017, but in September, she was withdrawn – the reason was the decision of the SEC not to consider an application to establish a bitcoin ETF before the actual appearance on the market of cryptocurrency derivatives in which such funds intend to invest.

The application to launch ETF based on bitcoin was filed SolidX Partners Inc in July 2016. It was assumed that the Fund will be traded on the new York stock exchange (NYSE). After several postponements of the application in March 2017 SEC it finally rejected.

In January, the Commission called upon to withdraw all applications for the creation of a bitcoin ETF. How, then, said the Agency, the activities of exchange traded bitcoin Fund currently does not meet the requirements of the regulator.

However, despite the fact that direct discussion with the regulator VanEck and SolidX is not yet conducted, representatives of the companies believe that the structure of the new product takes into account the main aspects in respect of which the SEC is concerned, including the lack of transparency of online exchanges, many of which are outside of the United States.

“Give up we were not going”, — said Dan Gallancy.

We will remind, before you dismiss SolidX, the Commission similarly received with the application brothers Miklotov to the opening of the Winklevoss Bitcoin Trust, which could become the first in the history of financial markets exchange-traded Fund that works exclusively with bitcoin.