VanEck Bitcoin Spot ETF Amendment Proposes Using Bitcoin as Seed Funding

Odaily News American financial lawyer Scott Johnsson posted on the X platform that the wording on seed funding in the revised VanEck Bitcoin Spot ETF document is similar to BlackRock. This is perhaps not too surprising given that both are represented by the same lawyers at Clifford Chance. But instead of recommending cash as seed funding, as BlackRock iShares does, VanEck recommends using Bitcoin as seed funding. According to previous news, VanEck submitted a revised version of its Bitcoin spot ETF VanEck Bitcoin Trust application to the U.S. SEC on October 27. In addition, on October 24, American financial lawyer Scott Johnsson discovered after studying the S-1 amendment submitted by BlackRock that BlackRock had obtained a CUSIP number prepared for the release of a Bitcoin spot ETF. CUSIP stands for Committee on Uniform Securities Identification Procedures. This number is also used as the U.S. Securities Unified Identification Code. Documents show that BlackRock is preparing Seed Capital for a Bitcoin spot ETF. Seed Capital is the underlying asset purchased by the issuing company itself when the new ETF is launched to meet future demand for the product. Specifically, whenever a new ETF is launched, the ETF must have at least 100,000 shares outstanding. Therefore, ETFs typically have at least $1 million in Seed Capital and often more than $2.5 million.