SEC Reschedules NYSE Arca Bitcoin ETF Decision To September
“The Commission finds it appropriate to designate a longer period within which to issue an order approving or disapproving the proposed rule change so that it has sufficient time to consider this proposed rule change,” the statement announced.
It has therefore rescheduled the new date to 21st September to approve or disprove the rule amendment linked Bitcoin ETF.
Bitcoin Exchange-Traded Fund [EFT] would trace the Bitcoin index and duplicate the coins on a day-to-day performance. It would then create a room for people who have a brokerage account to buy into cryptocurrencies without agonizing about all the processes associated with it.
Meanwhile, NYSE Arca Inc. presented a proposal to the SEC with the intention to change the rule to list and trade their shares Rule. The SEC's response was the following:
Direxion Daily Bitcoin Bear 1x Shares
Direxion Daily Bitcoin 1.2x Bull Shares
Direxion Daily Bitcoin 1.5x Bull Shares
Direxion Daily Bitcoin 2x Bear Shares
The Commission also mentioned it needed ample time to assess in order to accept or reject the proposed rule change basing its decision on the extraordinary uncertainty and Volatilization that comes with cryptos.
The SEC Report Asserts:
“The Commission instituted proceedings to allow for additional analysis of the proposed rule change’s consistency with section 19 (b) (2) of the Act, which requires, among other things, that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade,’ and ‘to protect investors and the public interest’.”
“Here’s why a Bitcoin ETF matters: with the release of an ETF, this allows investors to add bitcoin to their retirement portfolio,” Nicholas Merten, a Twitterati opined. “Global Pensions market: $41.3T. If bitcoin captures just 1% of global pensions, that would create $413,000,000,000 of exposure for cryptocurrencies.”
Nevertheless, the utmost anticipated Cboe bid for VanEck and SolidX determination is, however, going to be announced August. But it will only center on Bitcoin ETF and the interesting part is the proposals have so far garnered over 100 comments.