The U.S. Securities and Exchange Commission (SEC) has officially approved America’s first regulated spot Bitcoin Exchange-Traded Funds (ETFs). This landmark decision was initially marred by a misleading tweet from the SEC’s account, causing market turmoil. However, the approval of 19b-4 applications from firms such as ARK 21Shares, Invesco Galaxy, and others, has now paved the way for these companies to list their spot Bitcoin ETFs for trading.
SEC Chair Gery Gensler stated that the Commission approved the listing and trading of a number of spot bitcoin ETP shares. He emphasized that the Commission acts within the law and how the courts interpret the law. He also noted that the Commission had disapproved more than 20 exchange rule filings for spot bitcoin ETPs since 2018, including a filing by Grayscale to convert its Bitcoin Trust into an ETP.
The SEC’s decision to approve these requests marks a significant shift, considering it had consistently denied such requests since Cameron and Tyler Winklevoss first attempted in 2013. The previous rejections were primarily due to concerns about market manipulation and fraud.
Grayscale’s court victory in August 2023 played a crucial role in the SEC’s revised stance. The court ruling reversed the SEC’s refusal to allow Grayscale to convert its Bitcoin Trust into a spot Bitcoin ETF, setting a precedent for further approvals.
Industry observers are now closely monitoring the market’s performance in relation to these ETFs. Leading market analysts, including Galaxy Research and VanEck, have made large-scale predictions about potential inflows into these ETFs, reflecting a generally bullish sentiment in the markets.
For a spot Bitcoin ETF to be launched in the U.S., S-1 and 19b-4 forms must be approved. Grayscale charges the highest fee rate, while issuers like BlackRock, Bitwise, and Ark 21Shares have announced different pricing structures for their ETFs.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 |
| Sentiment | positive |
| Relevance Score | 1 |
| People | Gery Gensler, Cameron Winklevoss, Jay Clayton, Tyler Winklevoss |
| Companies | ARK 21Shares, BlackRock, Galaxy Research, Invesco Galaxy, VanEck, Bitwise, Grayscale, Securities and Exchange Commission |
| Currencies | Bitcoin |
| Securities | None |
