SEC again delays decision on Grayscale’s Bitcoin ETF

The United States Securities and Exchange Commission (SEC) has erstwhile again delayed its ruling connected whether to o.k. Grayscale’s exertion for a Bitcoin (BTC) exchange-traded money (ETF), citing acquainted concerns astir manipulation, liquidity and transparency. 

In a announcement published Friday afternoon, the SEC expressed concerns astir however the integer plus manager intends to person its Grayscale Bitcoin Trust (GBTC) into a spot ETF. Namely, the regulator wasn’t convinced that Grayscale’s connection was designed to forestall alleged fraud and manipulation successful the Bitcoin market. The SEC has invited the nationalist to remark connected these issues, giving funny parties 21 days to respond successful writing.

The SEC has conscionable delayed their determination connected whether GBTC tin person to a bitcoin ETF.

— Pomp (@APompliano) February 4, 2022

As Cointelegraph reported, Grayscale’s archetypal exertion to person shares of GBTC into a spot Bitcoin ETF was submitted to the SEC successful October. Less than 2 months later, the securities regulator announced that it was postponing its determination connected Grayscale’s application and a akin connection enactment guardant by Bitwise.

Grayscale is the world’s largest integer plus manager with $36.5 cardinal successful assets nether absorption arsenic of Feb. 4. Its GBTC merchandise accounts for implicit 71% of its full assets. 

— Grayscale (@Grayscale) February 4, 2022

Related: Canadian Bitcoin ETF sees its third-biggest regular inflow ever

While the SEC has been hesitant to o.k. a spot Bitcoin ETF, the regulator has been much much receptive to a futures-linked product. In October, the ProShares Bitcoin Strategy ETF became the archetypal Bitcoin futures money to beryllium approved successful the United States. Shortly thereafter, the SEC approved a brace of Bitcoin-linked Strategy ETFs from Valkyrie and VanEck.