The company’s futures-based Bitcoin ETF was expected to receive SEC approval shortly after ProShares’ ETF was approved
Invesco, a major investment firm operating in 20 countries, has decided to halt development and the launch of its futures-based Bitcoin ETF.
According to a report from Bloomberg, Invesco will no longer pursue SEC approval for its own futures-backed ETF. Instead, the company plans to seek approval for a product directly backed by Bitcoin (BTC).
This shift comes as the investment community prepares for the debut of ProShares’ Bitcoin Futures ETF, the first ETF in the U.S. market backed by derivative contracts.
The newly approved fund is set to launch on the New York Stock Exchange (NYSE) today, Tuesday, October 19.
Invesco shifts focus to a spot Bitcoin ETF
Atlanta-based Invesco has not provided detailed reasons for withdrawing its futures ETF filing, saying only through a spokesperson that it has changed course regarding its ETF strategy.
The firm’s immediate plans include continuing the partnership with Mike Novogratz’s Galaxy Digital. The two companies recently formed an alliance designed to enable Invesco to offer various Bitcoin-related products to a growing community of crypto investors.
“We will continue to work with Galaxy Digital to offer our clients a range of products that provide exposure to this innovative asset class, including ETFs based on digital assets,” the spokesperson told Bloomberg.
Invesco’s intent to pursue a Bitcoin-backed ETF follows similar moves by other industry players. Just days earlier, leading digital asset manager Grayscale indicated plans that could convert its flagship Bitcoin fund into a spot Bitcoin ETF, a change it hopes the SEC will approve.
Interest in and enthusiasm for ETFs has helped drive a notable rise in Bitcoin’s price over the past week. At the time of writing, Bitcoin trades around $62,190. CoinGecko data shows the price reached as high as $63,432.04 in the past 24 hours, the highest level in six months.
Bitcoin’s all-time high remains $64,805, reached on April 14, 2021.