Why Bitcoin ETF applications are Rejected by SEC Again?
SEC rejected spot Bitcoin ETFs
According to separate filings dated March 10, the Securities and Exchange Commission (SEC) has rejected NYDIG and Global X’s applications to list spot Bitcoin exchange-traded funds (ETFs).
The SEC had extended its review time to receive and review comments on NYDIG’s spot ETF product, but it has now decided that it does not fulfill sufficient criteria, citing fraud, manipulation, and valuation methodology as concerns.
“This order disapproves the proposed rule change. The Commission concludes that NYSE Arca has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of Exchange Act Section, and in particular, the requirement that the rules of a national securities exchange be “designed to prevent fraudulent and manipulative acts and practices” and “to protect investors and the public interest,” SEC stated.
The denials are unsurprising, given that SEC Chair Gary Gensler has stated on several occasions that he favors a bitcoin futures ETF over one that owns bitcoin directly.
The SEC recently denied applications from Fidelity, First Trust, Kryptoin, Van Eck, and WisdomTree for spot bitcoin ETFs.
Will Clemente, a well-known crypto analyst and investor, has expressed his disappointment about SEC’s decision.
On March 9, U.S. President Joe Biden signed a crypto executive order which ask for federal agencies to take a unified approach to the regulation and oversight of digital assets. It’s been a long time coming, and the crypto industry has been waiting for it, not least because of increasing regulatory concerns throughout the world about the immature digital asset market.
Bitcoin’s price started to skyrocket to $42,000 when the executive order has been leaked. Bitcoin’s market cap also reached $800 million after the President officially signed the crypto order.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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Why Bitcoin ETF applications are Rejected by SEC Again?
SEC rejected spot Bitcoin ETFs
According to separate filings dated March 10, the Securities and Exchange Commission (SEC) has rejected NYDIG and Global X’s applications to list spot Bitcoin exchange-traded funds (ETFs).
The SEC had extended its review time to receive and review comments on NYDIG’s spot ETF product, but it has now decided that it does not fulfill sufficient criteria, citing fraud, manipulation, and valuation methodology as concerns.
“This order disapproves the proposed rule change. The Commission concludes that NYSE Arca has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of Exchange Act Section, and in particular, the requirement that the rules of a national securities exchange be “designed to prevent fraudulent and manipulative acts and practices” and “to protect investors and the public interest,” SEC stated.
The denials are unsurprising, given that SEC Chair Gary Gensler has stated on several occasions that he favors a bitcoin futures ETF over one that owns bitcoin directly.
The SEC recently denied applications from Fidelity, First Trust, Kryptoin, Van Eck, and WisdomTree for spot bitcoin ETFs.
Will Clemente, a well-known crypto analyst and investor, has expressed his disappointment about SEC’s decision.
On March 9, U.S. President Joe Biden signed a crypto executive order which ask for federal agencies to take a unified approach to the regulation and oversight of digital assets. It’s been a long time coming, and the crypto industry has been waiting for it, not least because of increasing regulatory concerns throughout the world about the immature digital asset market.
Bitcoin’s price started to skyrocket to $42,000 when the executive order has been leaked. Bitcoin’s market cap also reached $800 million after the President officially signed the crypto order.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Hazel
CoinCu News
bitcoin etf
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