According to SEC Chair Gary Gensler, the U.S. Securities and Exchange Commission (SEC) is reviewing eight to ten submissions of potential bitcoin exchange-traded products.
Due to expectations that the SEC will soon approve the creation of a spot bitcoin exchange-traded fund (ETF), which would provide investors direct access to the cryptocurrency through an exchange-listed product, the price of bitcoin has increased this week.
Only ETFs linked to bitcoin futures contracts have received approval from the SEC thus far.
After rising over 14% this week, the most prominent cryptocurrency in the world was down 1.6% at $33,958 in midday trade.
They might make it to the five-person commission. Though I won’t evaluate them beforehand, I have no idea when,” Gensler remarked. “They all have various filing dates.”
The first application in line is Cathie Wood’s ARK Invest application. Regulators must decide whether to approve or reject the proposal by January 10, 2024, the end of the 240-day SEC comment period.
Invesco (IVZ.N), Fidelity, Bitwise, BlackRock (BLK.N), and WisdomTree (WT.N) are a few more companies that have applications for Bitcoin funds pending in the United States.
Since the SEC decided not to appeal a court decision finding that it had been incorrect to deny Grayscale Investments’ application to convert its current bitcoin trust into a spot bitcoin ETF, interest in spot ETFs has grown. It has been directed by the court to reevaluate that choice.