SEC Considering Other ETF Applications and is Accepting Votes
On August 10, 2018, the Securities and Exchange Commission (SEC) will issue a decision concerning Chicago Board Options Exchange’s (CBOE) ETF application. If approved, it will be the first-ever crypto-related ETF.
The SEC is not known for being favorable to cryptocurrency platforms. Recently, the commission denied Winklevoss’s Bitcoin ETF. Although the denial has not stopped others from applying, it certainly has led to a high degree of uncertainty and perhaps even caused Bitcoin’s most recent reduction in value to below $8,000.
Been doing research on the BTC ETF for the last few weeks, speaking to the SEC, lawyers and even those against the idea…
It’s a certainty and only a question of when. My prediction would be within 6 months we will have approval and it will probably be the Van Eck ETF. DYOR
— Ran NeuNer (@cryptomanran) August 6, 2018
On the other hand, CBOE seems to be optimistic concerning its approval because the platform believes it has a solid case in favor of its request. A source allegedly close to the case stated:
The Winklevoss denial is irrelevant here. Those [who] realized that quickly are the voices you should listen to here. Our submission (based on VanEck SolidX product) is equally backed by the principles needed to expect an approval, but also carries the heft of a regulatory agency that is part private sector and part pseudo-governmental agency. While we are a public company via capitalization, we are still closely tied to regulatory bodies given the need for public trust, etc. That is where the SEC will focus its approval or disapproval chops. We still believe that approval of our Bitcoin ETF product is a near certainty. Just a question of timing and potential administrative delays.
A source at the SEC allegedly also commented concerning the likelihood of CBOE’s ETF approval:
The hybrid exchange/regulatory elements there make a world of difference. The SEC will have an internal interest in dealing equitably with the SBOE. Believe me when I say that. The Gemini decision was expected from those in the know and could have easily been predicted. Again, this stuff is more about timing than anything else. Approvals will come, it I smore a matter of Q4 2018 or Q1 2019. And as I said before, that will open up the door to more crypto-based product submissions.
Based on these two comments, the Winklevoss scenario is not completely telling of how the SEC will go forward concerning other submissions, including that by CBOE.
Update: It is becoming apparent that this is not a legitimate site from the SEC. One person on Twitter says that this is a Russian hosted website. It doesn't appear to be stealing information, although it does ask you to input your email address to vote. All links on the site does point towards sec.gov but the header image points back to the domain. So just be cautious before inputting your information. Here is the original content we wrote, minus a direct link to the website:
Interestingly enough, the SEC is also interested in getting the public involved. The commission has a page where those who are interested can vote. As the SEC writes on the page, “We encourage the public to submit vote on CBOE BZX Exchange.” Currently, there are 37% total votes complete.
Here is the link: sec.vote
Be sure to read some of our other related news articles on the SEC's approval or rejection of the First Bitcoin ETF