SEC has Delayed Decisions on Six Bitcoin Spot ETFs: Details
- The SEC has delayed its decisions on the six Bitcoin (BTC) spot exchange-traded funds (ETFs).
- The regulator claims in a filing that it will take a longer time to review these offerings.
- The crypto community turned optimistic after the SEC lost a lawsuit filed by Grayscale.
- Multiple Bitcoin spot ETFs were refiled by firms like BlackRock after including SSAs with Coinbase.
The United States Securities and Exchange Commission (SEC) has announced that it has delayed its decisions on six Bitcoin (BTC) spot exchange-traded funds (ETFs), which were filed by multiple leading asset management firms in the recent period. More importantly, the crypto sector has been waiting for the approval of a BTC spot ETF for the past few years.
As per the filings from the SEC submitted on August 31, the securities regulator postponed its decisions on the six spot ETFs, adding that it will take a longer time to review these offerings. The six ETFs were filed by WisdomTree, VanEck, Invesco Galaxy, Bitwise, and Valkyrie and also include the Wise Origin Bitcoin Trust proposed by Fidelity.
It is crucial to note that the SEC has around 45 days upon publication in the Federal Register to consider the proposed rule changes allowing listing of the investment vehicles. As a result, the regulator has until October to approve, deny, or delay a decision.
Interestingly, the crypto community has turned positive after the SEC lost a lawsuit against digital asset management firm Grayscale. The latter filed a lawsuit against the regulator after the agency denied its application for the conversion of its Grayscale Bitcoin Trust (GBTC) product to a Bitcoin spot ETF.
As reported earlier by Bitnation, the SEC initially rejected the application, citing that the product was not “designed to prevent fraudulent and manipulative acts and practices.” However, the judge presiding over the case stated that “the Commission failed to adequately explain why it approved the listing of two bitcoin futures ETPs but not Grayscale’s proposed bitcoin ETP,” adding that “in the absence of a coherent explanation, this unlike regulatory treatment of like products is unlawful.”
While WisdomTree Bitcoin spot ETF application failed to get approved by the SEC in 2021, BlackRock joined the race and filed for a Bitcoin spot ETF. These applications have been refiled including surveillance sharing agreements (SSAs) with leading crypto exchange Coinbase.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
