Bitwise Asset Management has withdrawn its application for a Bitcoin (BTC) based Exchange Traded Fund (ETF) amid several such product launches in the US.

While the company is dropping its futures-linked ETF, the local company remains optimistic about Bitcoin ETF, which is said to be tracking Bitcoin directly, said Bitwise chief investment officer Matt Hougan. announced on 11/10.

Hougan said Bitwise’s spot record remains intact and that the company will continue efforts to bring such a product to market in the United States:

“Ultimately, many investors want a spot Bitcoin ETF. We think it’s possible. Bitwise will continue to pursue this goal and we will look for other ways to help investors access the incredible opportunities in cryptocurrencies. “

The CIO emphasized that the first Bitcoin ETF application ever filed was a spot ETF from crypto exchange founders Gemini Cameron and Tyler Winklevoss. The application, filed in 2013, was rejected by the US Securities and Exchange Commission (SEC) in 2017. “A lot of people have worked on it over the years, including the team here,” he said.

Hougan went on to say that “every ETF is a big step forward,” noting that many Bitcoin futures ETFs received SEC approval and started trading in October. However, there are several reasons why Bitwise did it prefers to withdraw its own application.

The CEO quoted the Bitwise analysis suggestions that a Bitcoin futures ETF – a situation where the futures price is higher than the spot price – will cost investors 5 to 10% per year.

Hougan too Note that the BTC-Futures-ETF has reportedly “used up all available capacities at futures commission dealers”. “This will decrease over time, but for now there are more costs added. Result? The cost outweighs the cost plus the complexity, ”he said.

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The CIO stressed that “none of this means that futures-based ETFs are bad,” adding that products such as the ProShares Bitcoin Strategy ETF and the Valkyrie Bitcoin Strategy ETF are “worthy versions.”

As Cointelegraph previously reported, Bitwise applied for a spot Bitcoin ETF in mid-October with the intention of listing the product on the NYSE Arca electronic exchange. The application comes just a month after the company applied for the Bitwise Bitcoin Strategy ETF in September.