VanEck Pledges 5% of BTC ETF Profits to BTC Developers

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VanEck, a prominent asset management firm, has announced a significant pledge in the cryptocurrency space. The company, which has a pending application for a spot Bitcoin (BTC) exchange-traded fund (ETF) with the United States Securities and Exchange Commission (SEC), plans to donate a portion of its profits to Bitcoin core developers.

VanEck’s Pledge to Bitcoin Core Developers

In a recent announcement on X (formerly Twitter), the asset manager revealed its commitment to donate 5% of the profits from its potential spot Bitcoin ETF to Bitcoin core developers through the nonprofit organization Brink. This pledge is set to take effect following the approval of its spot Bitcoin ETF application. Additionally, VanEck has already made an initial donation of $10,000 to the developers, showcasing its dedication to the Bitcoin ecosystem.

We’re not Bitcoin tourists at VanEck. We’re in it for the long haul. That’s why we made an initial $10k donation and signed a pledge to donate 5% of our Bitcoin ETF profits (if approved) to support Bitcoin Core devs @bitcoinbrink for at least 10 years. Your tireless dedication to…

— VanEck (@vaneck_us) January 5, 2024

The SEC has not yet approved a spot BTC ETF for listing on any U.S. exchange. However, the commission is expected to make a decision ahead of a January 10 deadline for an application from ARK Invest and 21Shares. The asset manager has also filed a notice with the SEC to register its Bitcoin ETF shares as securities on the Cboe BZX Exchange.

Another Pledge By VanEck

The company’s pledge is part of a larger trend of asset managers awaiting SEC decisions on various cryptocurrency-related products. Other firms, including BlackRock, Bitwise, Fidelity, Grayscale Valkyrie, Invesco Galaxy, and WisdomTree, are also in the queue. In September, VanEck made a similar commitment to donate 10% of all profits from its Ether (ETH) futures ETF to Ethereum core developers for 10 years.

The approval of a spot BTC ETF could have far-reaching implications for cryptocurrency adoption and the broader financial markets. The asset manager’s pledge to support Bitcoin core developers highlights the firm’s long-term commitment to the cryptocurrency ecosystem and its belief in the potential of these digital assets.

Author

Steven Walgenbach

Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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