Blockchain advocacy groups file motion to support Grayscale in lawsuit against SEC

1 year ago

Four blockchain advocacy groups person filed amici curiae successful enactment of Grayscale’s spot Bitcoin ETF suit against the Securities and Exchange Commission (SEC).

The Blockchain Association, Chamber of Digital Commerce, Chamber of Progress, and Coin Center were named arsenic parties to the amici curiae filed earlier the U.S. District Court connected Oct. 18.

1/ Today we filed an amicus little supporting @Grayscale successful its suit against the SEC for rejecting its spot Bitcoin ETP application.

We’re arrogant to instrumentality this momentous measurement supporting the crypto manufacture to supply American consumers greater entree to these innovative products. pic.twitter.com/YTMxm432oG

— Blockchain Association (@BlockchainAssn) October 18, 2022

The SEC had rejected Grayscale’s exertion to person its Bitcoin Trust (GBTC) into a spot Bitcoin ETF, citing marketplace manipulation concerns.

The advocacy groups said the SEC’s refusal to o.k. a spot Bitcoin ETF limits investors’ choice. They argued that respective Americans were anxious to ain concern products that connection vulnerability to Bitcoin without purchasing the underlying asset.

The SEC was accused of applying discriminating standards successful its valuation of spot and futures Bitcoin ETFs. The SEC has approved respective futures ETFs but denied aggregate spot ETF applications.

As a result, the radical claims the SEC violated the Administrative Procedures Act that mandates the regulator not to discriminate against securities issuers.

The radical argued that spot ETFs are considerably safer and much unchangeable than futures ETFs. Moreover, spot ETFs and futures ETFs each thrust their worth from the underlying Bitcoin market.

The advocacy groups person called connected the SEC to reconsider its enactment and o.k. Grayscale’s spot Bitcoin ETF.