SEC Resets Countdown For Proposed Bitcoin ETF by Wilshire Phoenix and NYSE Arca

The U. S. Securities and Exchange Commission (SEC) has recently started again soliciting comments on the latest Bitcoin exchange-traded fund (ETF) proposal created by Wilshire Phoenix and NYSE Arca.

According to the regulator, the companies want to amend a part of their plans this month, which is why the SEC decided to restart the clock for the approval of the project.

It was now defined that Coinbase Custody will act as the official custodian of the asset and that it will confirm the amount of Bitcoin that is held by the company, something that was not present in the original filing with the SEC. Also, it was stated that Bitcoin futures would be provided by CME and the Intercontinental Exchange (ICE), not CME and Cboe, as Cboe dropped the products recently.

Another part of the new filing addresses the question of market manipulation. According to the company, it is important to look at the markets in which the exchange-traded product would base its value, not on the whole market when talking about manipulation.

It was decided that the amendment supersedes the original filing, so the time to approve or decline the ETF has been restarted, and was filed on October the fourth, initially, the proposal was made in June.

Now, the public has 21 days to submit comments about the new ETF. The SEC has 45 days to reject the proposal, approve it or to ask for an extension, which is what generally what's happened so far.

Recently, the ETF created by Bitwise Asset Management and NYSE Arca was rejected. The reason for the rejection was the ever present question of market manipulation.