The United States Securities and Exchange Commission (SEC) has reportedly decided not to appeal a recent court decision regarding a case between the SEC and Grayscale Investments. The court had granted Grayscale’s request to convert its Grayscale Bitcoin Trust into a spot Bitcoin exchange-traded fund (ETF) after the SEC initially denied the request. According to a source close to the matter, the SEC will not be challenging this ruling. However, the SEC is now required to review Grayscale’s application for the ETF conversion, although this does not guarantee automatic approval. The appeals court is expected to issue a directive outlining how the ruling should be implemented. Bloomberg analyst James Seyffart agrees with the report that the SEC will not appeal and suggests that there may be further developments as discussions between Grayscale and the SEC are set to begin. Seyffart and his colleague Eric Balchunas remain positive about the approval of a spot Bitcoin ETF in the US. They note that the joint ETF filing by Ark Invest and 21 shares has been updated, indicating a “constructive conversation” with the SEC and increasing the chances of approval to 90% by the final deadline of January 10, 2024. In the past, the SEC has rejected spot Bitcoin ETF filings due to concerns about investor protection from market manipulation. However, some asset managers, including Ark/21Shares, have responded to this requirement by establishing surveillance-sharing arrangements with Coinbase, the largest crypto exchange in the US.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 |
| Sentiment | positive |
| Relevance Score | 1 |
| People | Eric Balchunas, James Seyffart |
| Companies | Coinbase, 21Shares, United States Securities and Exchange Commission (SEC), Ark Invest, US District of Columbia Court of Appeals, Grayscale Investments, Bloomberg |
| Currencies | Bitcoin |
| Securities | None |
