By Nathan Ferguson
Goldman Sachs (a giant of Wall Street), a week later veiling of Grayscale’s DeFi fund, submitted a filing for Blockchain Equity ETF (exchange-traded fund) as well as Innovate DeFi, as stated by US SEC’s (securities and exchange commission) Monday’s filing. It stated that the purpose of the ETF is to invest its assets’ minimum amount of 80% into securities contained in its underlying index. Additionally, it looks for providing investment results that are in close correspondence, earlier than expenses and fees, with the Blockchain Index as well as the Decentralized Finance of Solactive, as stated by the filing.
Raj Garigipati (the managing director), as well as Jamie McGregor (the portfolio manager), will be the managers of the fund, according to the filing. It has been mentioned in the filing that Garigipati became a part of the management team for the ETF portfolio in 2015. However, he had worked as the top risk officer of a group responsible for Quantitative Investment Strategies at Goldman Sachs before this from 2011 onward. He entered the asset management sector of Goldman Sachs in 2015, but he worked as a portfolio manager, since 2007, at Guggenheim Investments, as the filing mentions.
The eligible markets for investment from Goldman Sachs include the United States, the United Kingdom, the Netherlands, Switzerland, South Korea, Japan, Hong Kong, Germany, France, Canada, and Australia. Firms are constantly submitting their applications for the approval of ETFs despite the delay of SEC on a dozen of Bitcoin (BTC) ETFs. In the recent week, an application has been submitted by Global X for a BTC ETF only a week after its launch of blockchain ETF. A similar approach has been taken by Valkyrie. However, Viridi Funds issued an ETF that is focused only on specifying capital for crypto miners through utilizing relatively sustainable bases of energy.
Neena Mishra (the ETF research director at Zacks Investment Research) disclosed on 22nd July that the sponsors such as VanEck and Global X are continuously filing for ETFs of Bitcoin. She further revealed that at least they possess one product to provide the customers with indirect exposure to cryptocurrency, in the case of SEC’s disapproval against their BTC ETF.
Hester Peirce (a commissioner of SEC), while attending The B-Word conference last week, acknowledged that she had never imagined for the United States to leave the other countries behind in sanctioning the approvals of ETFs.