Asset management firm Vaneck has pledged to donate 5% of its spot bitcoin exchange-traded fund (ETF) profits to support Bitcoin Core developers for at least 10 years. The company is currently awaiting approval from the U.S. Securities and Exchange Commission (SEC) to launch its spot bitcoin ETF. The securities regulator is expected to approve multiple applications early next week.
Vaneck to Donate 5% of Spot Bitcoin ETF Profits
Asset manager Vaneck pledged financial support for Bitcoin Core developers on Friday, ahead of the U.S. Securities and Exchange Commission (SEC)’s decision on its spot bitcoin exchange-traded fund (ETF) application. Vaneck is one of 11 companies vying to launch the first U.S. spot bitcoin ETFs.
“We’re not Bitcoin tourists at Vaneck. We’re in it for the long haul,” Vaneck wrote on social media platform X Friday. The asset manager added:
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 for at least 10 years.
“Your tireless dedication to decentralization and innovation is the cornerstone of the Bitcoin ecosystem, and we’re here to support it — more details to come,” Vaneck added.
The SEC is expected to make a decision on spot bitcoin ETF approvals early next week. In its year-end predictions, Vaneck said: “We expect more than $2.4B will flow into newly approved U.S. spot bitcoin ETFs in Q1 2024 to keep the bitcoin price elevated.”
In March, Bitcoin mining company Marathon Digital Holdings and Brink, a nonprofit striving to support open-source Bitcoin development, joined forces to raise $1 million for Bitcoin Core developers. Marathon pledged to match all contributions toward this cause, totaling a maximum of $500,000 through 2023.
Venture capitalist Tim Draper, along with the Draper Foundation, has also supported Bitcoin Core developers through donations to Brink. In March, they donated $100,000, followed by another $150,000 in December for Brink’s Bitcoin developer funding efforts, bringing their total contribution to $250,000 for the year. Draper recently doubled down on his BTC prediction of $250,000 this year.
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