With all the controversy and hoopla surrounding bitcoin, the volatile digital currency, investors looking to access the currency via an exchange traded product are looking to stay abreast of developments on the bitcoin ETF front.

That means monitoring the approval process for the Winkelvoss Bitcoin Trust, an ETF sponsored by twin brothers Cameron and Tyler Winkelvoss. Although ETF has yet to debut following a third-quarter filing with the Securities and Exchange Commission, the process is moving along and it appears that, at some point, the Winkelvoss Bitcoin Trust will become a reality. [Bitcoin ETF may Soon be a Reality]

“The SEC has generally been receptive,” the trust’s lawyer, Evan Greebel, told Michael Casey of the Wall Street Journal. “We are working through common procedures and working through the registration process and we have not gotten any show stoppers. We think the SEC understands the nature of the project and understands that it does bring stability to bitcoin.”

The trust’s sponsor is Math-Based Asset Services LLC, which was formed in mid-2013.Bitcoin is a type of decentralized digital currency based on a peer-to-peer network and can be exchanged through computers internationally without a financial intermediary. The system was first introduced by developer Satoshi Nakamoto in 2009. [Study Says Bitcoin is Speculative]

Although more businesses are accepting bitcoin, the currency’s reputation for volatility could hinder broader acceptance. Additionally, some experts have argued bitcoin has no correlation to major currencies such as the U.S. dollar, therefore rendering it ineffective as a hedging tool.

Greebel said “the ETF should help the development of a large, institutional exchange for bitcoin to complement the offerings that currently exist from retail-focused platforms,” according to the Journal. He did tell the Journal when the ETF could be approved or debut for public consumption.

Bitcoin and the ETF concept got something of a lift in November when representatives from the Department of Justice and Securities and Exchange Commission told the U.S. Senate Committee on Homeland Security that the currency is indeed a legitimate financial tool. [Bitcoin Moves to Legitimacy; ETF to Follow]

ETF Trends editorial team contributed to this post.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.