2 years ago
The U.S. Securities and Exchange Commission (SEC) has expressed concerns astir however Grayscale volition caput disconnected stock manipulation, fraud and different imaginable issues successful its connection to person its Grayscale Bitcoin Trust (GBTC) into a bitcoin spot exchange-traded money (ETF), according to a notice Friday.
The regulator besides flagged its concerns astir the liquidity and transparency of bitcoin markets, arsenic good arsenic the “suitability” of bitcoin arsenic the underlying plus for the fund. Grayscale is simply a portion of Digital Currency Group, which is besides the genitor of CoinDesk.
The SEC has asked the nationalist to remark connected these issues, and fixed them 21 days to bash so, with an further 14 days for responses to those comments.
Earlier this week, the SEC requested concern manager Bitwise to respond to akin concerns astir its ain spot bitcoin ETF proposal.
Over the past mates of months, the bureau has rejected spot bitcoin ETF applications from WisdomTree, Krypton, SkyBridge and Fidelity. It is weighing a fig of different applications from concern firms.
CORRECTION (Feb. 4, 2022, 22:00 UTC): Corrects slug constituent connected remark and rebuttal periods for the public.
CORRECTION (Feb. 4, 2022, 22:12 UTC): Corrects slug constituent to authorities that the SEC's concerns are astir the liquidity and transparency of Bitcoin markets.
UPDATE (Feb. 4, 2022, 22:32 UTC): Updated with further item throughout.
DISCLOSURE
The person successful quality and accusation connected cryptocurrency, integer assets and the aboriginal of money, CoinDesk is simply a media outlet that strives for the highest journalistic standards and abides by a strict acceptable of editorial policies. CoinDesk is an autarkic operating subsidiary of Digital Currency Group, which invests successful cryptocurrencies and blockchain startups. As portion of their compensation, definite CoinDesk employees, including editorial employees, whitethorn person vulnerability to DCG equity successful the signifier of stock appreciation rights, which vest implicit a multi-year period. CoinDesk journalists are not allowed to acquisition banal outright successful DCG.
Michael Bellusci is CoinDesk's crypto payments reporter.
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