U.S. Securities and Exchange Commission Chairman Gary Gensler and ProShares CEO Simon Hyman discussed the launch of the first Bitcoin-linked Exchange Traded Fund (ETF) in CNBC’s breaking news section on Tuesday.

The ProShares Bitcoin Strategy ETF, also known as BITO, is based on the CME Bitcoin (BTC) futures contract. CNBC commentator Bob Pisani shared the concerns of some investors that BTC futures could deviate from the BTC spot price.

“The futures market is the best place to set prices,” Heymann said. The futures market on the Chicago Mercantile Exchange trades more than the largest cryptocurrency exchange in the United States. We launched a similar equity fund on July 28, and since launching on Friday, our BTC benchmark is up 52%, our BTC fund has grown by 52%, and our BTC Greyscale fund has grown by 37%. ”

BITO’s debut comes on the heels of announcements that other BTC-related funds, including the Bitcoin ETF Valkyrie strategy, are about to start trading on the Nasdaq exchange. A new blockchain-based fund called Volt Crypto Industry Revolution and Tech ETF plans to start trading soon.

Pisani Gensler asked about previous comments in which he said he does not have the same concerns about the issuance of funds related to BTC futures as compared to fully correlated BTC funds. Gensler emphasized:

“We are trying to introduce new projects into a protected environment for investors. BTC futures have been controlled by the SEC subsidiary, the Commodity Futures Trading Commission, for the past four years. You have something that has been controlled by the federal regulator for the last four years, which It was also placed under the jurisdiction of the Securities and Exchange Commission under the Investment Firms Act of 1940.”
Hayman expressed confidence in the new fund, noting the history of bitcoin price movements, US securities laws, and the possibility of a new opportunity for investors:

– There is a lot of history here. We think it will work well enough. We believe that a regulated 40-share ETF futures contract will open up access to BTC for many people who may have been waiting on the sidelines. “

Source: CoinTelegraph

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