[Latest SEC Bitcoin ETF Approval Update] Deadline For Public Comments For Crypto ETF Review Passes
The previously stated deadline for public comment on nine bitcoin ETF applications ha been crossed. Now it is up to the SEC to review the suggestions and take a stance.
Notably, this has been an already extended deadline. The previous one was in August but had to be postponed due to unclarity. The nine different ETFs are submitted by three entities; two from ProShares (in association with New York Stock Exchange), five from Direxion and two from GraniteShares.
A decision date is set for December 29th on the Van Eck SolidX Bitcoin ETF application. These applications received upward of 1,400 comment letters.
These applications were earlier declined by the SEC over concerns of a possible scam and market manipulation. The disapproval of ProShares said “the products did not comply with the requirements by the
“Exchange Act Section 6(b)(5), in particular, the requirement that a national securities exchange's rules be designed to prevent fraudulent and manipulative acts and practices.”
Although just in a day SEC Commissioner Hester M. Peirce announced that a verdict was reached by SEC officials to review their decision on grounds of not understanding the technology in its entirety. Then a deadline of November 5th was set for public comments on the issue.
While it may seem easy to be disheartened by the unclarity of the regulators, one needs to remember that the SEC hasn't dismissed the ETF. It is recognizing the incidents and working to obtain as much knowledge as it can about the capabilities in the crypto ecosystem. The fact that the SEC is taking this much time with the application can be deemed as a good sign.