The Securities and Exchange Commission has set upcoming deadlines to review applications for 7 spot Bitcoin ETFs in the United States. The latest decision is expected by September 4. This follows the SEC’s recent loss in a federal appeals court case against Grayscale Investments.
Bitwise, an investment firm, is anticipating the SEC’s decision on their ETF application on September 1. Similarly, BlackRock, VanEck, Fidelity, Invesco, and WisdomTree are anticipating the SEC’s decisions on their funds by September 2. These details are highlighted in various SEC filings. Valkyrie, however, is looking forward to receiving the SEC’s feedback on September 4.
Moreover, on August 29, the U.S. Court of Appeals made a recent ruling. It found the SEC’s rejection of Grayscale’s application to convert GBTC into a spot Bitcoin ETF “unreasonably impulsive.” However, Bloomberg ETF analyst James Seyffart clarified that this outcome doesn’t automatically guarantee approval for Grayscale’s or other similar applications in the future.
Examining the 7 spot Bitcoin ETFs: SEC’s Path Post-Grayscale Ruling and Applicant Prospects
In an August 29 interview with Bloomberg, Seyffart highlighted that Grayscale’s win boosts chances for future applicants. Yet, he couldn’t predict decision timing due to the SEC’s ability to delay and proposed fund deadlines before the 240th day’s final verdict following initial filing.
For all the awaiting applicants, the ultimate deadlines set by the SEC are all situated in mid-March of the following year.
Following the August 29 verdict in favor of Grayscale, the regulatory body holds a 90-day window to either appeal to the U.S. Supreme Court or request an en banc review, which entails a full circuit court overturning a decision made by a three-judge panel.
SEC’s Next Steps and Expert Views on Bitcoin ETFs Post Grayscale’s Victory
Although, the SEC hasn’t disclosed its subsequent steps clearly. If an appeal isn’t pursued, the court will need to specify the implementation of its ruling. This could entail instructing the SEC to greenlight Grayscale’s application or, at the very least, reevaluate it.
Additionally, Seyffart identified only two plausible courses of action for the regulatory authority. The first option is to acknowledge defeat and endorse Grayscale’s transformation of GBTC into a Bitcoin spot ETF. Alternatively, the SEC might need to withdraw Bitcoin futures ETFs or reject Grayscale’s application on new grounds, as Seyffart mentioned.
Eric Balchunas, another ETF analyst at Bloomberg, however, assessed the likelihood of the SEC rescinding Bitcoin futures ETFs as exceedingly improbable due to reports of the SEC’s willingness to consider Ethereum futures ETFs.
Reas More:
Binance Rolls Out Send Cash Service Across Nine Latin American Countries
Google Adapts Service Policies to Align with EU Digital Services Act Regulations