SEC Chair Gensler, faced questioning from the Senate Banking Committee on September 12, covering topics ranging from artificial intelligence to regulatory actions within the cryptocurrency sector.
In his prepared statement, Gensler emphasized the importance of vigilant oversight by the U.S. Securities and Exchange Commission over the cryptocurrency market. However, when pressed about the approval of spot ETFs for crypto assets, he skillfully evaded providing a direct response.
SEC Chair Gensler Offers Cryptic Response on Spot ETF Prerequisites”
When Senator Hagerty inquired about the prerequisites for a spot ETF filing, Gensler’s response was cryptic: “We are currently scrutinizing multiple spot ETF submissions, extending beyond Grayscale.” He also expressed anticipation for the recommendations from the SEC staff.
Eric Balchunas, a seasoned ETF analyst at Bloomberg, detected an air of ambiguity in Gensler’s reply. He pointed out similarities with Gensler’s earlier statement, “I’m just one of five commissioners.”
Balchunas also highlighted the Chairman’s recognition of numerous submissions beyond Grayscale. However, this failed to shed light on the specific question at hand.
Threefold Longer Than Permissible
This development transpired a mere week after Grayscale’s legal team addressed a letter to the SEC, soliciting a meeting with the regulatory body. The missive lamented that the SEC’s evaluation of Grayscale’s application had exceeded permissible timeframes under securities law by a factor of three.
Despite the recurring inquiry, little headway was made in terms of elucidation, further compounding the frustration within the community.
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