WisdomTree and Invesco, two prominent players in the investment management sphere, have applied for spot Bitcoin ETFs, propelled by BlackRock’s recent decision.

Investment powerhouses WisdomTree and Invesco have lodged their spot Bitcoin exchange-traded funds (ETF) applications. This move came shortly after BlackRock, the global financial juggernaut, kickstarted a similar Bitcoin spot ETF initiative on June 15.

Emerging as the latest contender, WisdomTree, a New York-based asset management firm, has pitched its spot Bitcoin ETF proposal. With the June 21 filing to the United States Securities and Exchange Commission (SEC), WisdomTree seeks SEC’s approval to list its proposed “WisdomTree Bitcoin Trust” on the Cboe BZX Exchange under the symbol “BTCW”.

The current application marks WisdomTree’s third venture into applying for a Bitcoin spot ETF. The SEC dismissed the first two attempts in December 2021 and October 2022, flagging concerns over potential fraud and market manipulations. Currently, WisdomTree’s asset portfolio stands at a hefty $83 billion.

A unique feature of BlackRock’s recent proposal to the SEC is its proposition to form a “surveillance sharing agreement” with the Chicago Mercantile Exchange (CME) futures markets. A similar sentiment resonates in WisdomTree’s application, indicating its readiness to embark on a surveillance agreement with any “US-based Bitcoin spot trading platform.”

Invesco, another global asset management leader, revived its application for an analogous product just a few hours post WisdomTree’s filing.

As per Invesco’s 19b-4 document submission to the SEC, the firm seeks to list its “Invesco Galaxy Bitcoin ETF” product on the Cboe BZX exchange. The document emphasizes the significance of a Bitcoin spot ETF that operates with the aid of “professional custodians and other service providers.” This will eliminate investors’ dependency on less regulated offshore entities, thus improving the security of their Bitcoin investments.

Despite the SEC not green-lighting any spot Bitcoin ETF product thus far, Bloomberg’s senior ETF analyst, Eric Balchunas, suggested that “BlackRock’s entry has revitalized the race.” He also insinuated that cryptocurrency investors can stay optimistic given BlackRock’s impressive “575-1” ETF approval rate by the regulator.

In the backdrop of these events, there’s a buzz that Fidelity Investments, a massive fund manager, could be exploring the burgeoning enthusiasm for spot Bitcoin ETFs. AP_Abacus, co-founder of Arch Public, hinted in a June 19 tweet that Fidelity Investments, which manages nearly $4.9 trillion in assets, might be gearing up to file for its own Bitcoin spot ETF or may consider placing a bid on Grayscale’s GBTC ETF product. We await Fidelity’s confirmation or denial of these rumors.