SEC Chairman Doesn’t Propose Spot Bitcoin ETF

Gary Gensler, chairman of the US Securities and Exchange Commission (SEC), responded to a letter from lawmakers in which he called the regulator’s refusal to approve bitcoin exchange-traded funds (ETFs) “unacceptable.”

SEC Chairman Hints at Bitcoin ETF in Spot Market

Gary Gensler – Chairman of the SEC

In a letter Tuesday (February 15) to Minnesota officials, Tom Emmer and Gary Gensler implied that the regulator’s reluctance to approve a spot bitcoin ETF in the United States is “acts and fraudulent and to prevent manipulative practices” in the market under the standards of the Stock Exchange Act. He reiterated his stance of being technology neutral but “taking a close look” at concerns Emmer raised in November.

“We received a response from SEC Chairman Gensler to our letter dated 11/31/21 regarding a spot bitcoin ETF. This issue remains our priority and we will continue to oversee the SEC in its mission to maintain fair and orderly markets and facilitate capital formation.”

It took Gensler over three months to respond to the letter from Emmer and crypto advocate Darren Soto. Both support the SEC’s approval of a spot bitcoin ETF, with Soto calling the cryptocurrency “an engine of economic growth” in the United States and “it’s important that we regulate it clearly to maximize the potential benefits and all.” minimize risks”. .

“The SEC’s approach to regulating cryptocurrencies is unacceptable,” Emmer said in the November letter. “While trading bitcoin futures ETFs is a huge step forward for millions of investors, U.S. investors who have asked for regulatory clarity disagree that a spot bitcoin ETF can’t initiate trading either.

To date, the SEC has not approved a request for a spot bitcoin ETF from any financial institution, although some lawmakers and industry leaders have criticized the commission’s inaction for failing to constrain the United States in innovative investment vehicles. However, after Gensler hinted in August 2021 that it would be more open to accepting ETFs based on futures contracts rather than face to face, many companies have filed Crypto Strategy ETF filings with the SEC. Since then, the committee has approved BTC futures-linked ETFs from Valkyrie, ProShares, and VanEck.

Companies continue to submit proposals for a Spot Crypto ETF, but the SEC has repeatedly rejected them, most recently filing applications from Fidelity, SkyBridge, and WisdomTree. The regulator is expected to make a decision on NYDIG’s application for a spot bitcoin ETF in March.

Join CoinCu Telegram to keep track of news:

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

970x90.gif (970×90)