[Truth Social Withdraws Bitcoin ETF Application, Analysts Say Competition May Be Too Intense] BlockBeats News, May 20: Bloomberg ETF analyst James Seyffart disclosed that Truth Social, the social media platform under former President Trump, has withdrawn its spot Bitcoin ETF application. Seyffart stated that the reason provided in the official press release is 'not very convincing.' He pointed out that the regulatory protection differences between 33 Act ETPs and 40 Act ETFs are already common knowledge in the crypto ETF market, with 'no new changes.' He believes the more likely reason is that the spot Bitcoin ETF market has become extremely competitive, especially after Morgan Stanley launched the MSBT with a fee rate of just 14 basis points, further squeezing the market space. Seyffart also mentioned that Truth Social still seems to plan on launching a more flexible crypto-related ETF strategy using a 40 Act fund structure. He remarked: 'Does the market really need a 14th spot Bitcoin ETF? But more differentiated products still make sense.' [Original Link]