SEC Postpones Bitcoin ETF Decision, Bitcoin Prices Tumble
In Brief
The Securities and Exchange Commission has announced a delay in reaching decisions regarding seven proposals for spot Bitcoin ETFs, including those presented by financial giants BlackRock and Fidelity.
The SEC has justified this delay by emphasizing the importance of having sufficient time to conduct comprehensive assessments of the proposed rule changes and the pertinent issues they raise.
The announcement caused a 5.1% decline in Bitcoin’s value within 24 hours.
The Securities and Exchange Commission has announced a delay in reaching decisions regarding seven proposals for spot Bitcoin exchange-traded funds (ETFs). Notably, the proposals included those presented by financial giants BlackRock and Fidelity.
The delay is prompted by a surge in applications and will see the decision deadlines for these ETFs extended.
SEC pushed the deadlines for BlackRock’s iShares Bitcoin Trust, Fidelity’s Wise Origin Bitcoin Trust, the VanEck Bitcoin Trust, the WisdomTree Bitcoin Trust, and the Invesco Galaxy Bitcoin ETF to October 17. Moreover, the Bitwise Bitcoin ETP Trust’s decision deadline has been deferred until October 16. Valkyrie Bitcoin Fund’s deadline has been rescheduled to October 19.
The SEC has justified this delay by emphasizing the importance of having sufficient time to conduct comprehensive assessments of the proposed rule changes and the pertinent issues they raise.
Notably, the Securities and Exchange Commission has yet to grant approval for any spot Bitcoin ETFs, citing potential fraud and market manipulation concerns. It is worth noting that, in 2021, the SEC did allow the trading of the first Bitcoin futures ETF.
The announcement of the SEC’s delay in decision-making caused a 5.1% decline in Bitcoin’s value within 24 hours. At the time of writing, the price of Bitcoin was approximately $26.009, according to CoinGecko.
At the same time, earlier this week, Bitcoin reached $27.497, following a significant win for the cryptocurrency industry. On August 29, the U.S. District of Columbia Court of Appeals ruled in favor of Grayscale Investments in its ongoing lawsuit against the SEC concerning a spot Bitcoin fund. It’s worth noting that the ruling does not guarantee immediate approval for a spot Bitcoin ETF. However, it does necessitate a reevaluation of Grayscale’s ETF proposal by the SEC.
Read more:
Disclaimer
In line with the Trust Project guidelines, please note that the information provided on this page is not intended to be and should not be interpreted as legal, tax, investment, financial, or any other form of advice. It is important to only invest what you can afford to lose and to seek independent financial advice if you have any doubts. For further information, we suggest referring to the terms and conditions as well as the help and support pages provided by the issuer or advertiser. MetaversePost is committed to accurate, unbiased reporting, but market conditions are subject to change without notice.
About The Author
Valeria is a reporter for Metaverse Post. She focuses on fundraises, AI, metaverse, digital fashion, NFTs, and everything web3-related. Valeria has a Master’s degree in Public Communications and is getting her second Major in International Business Management. She dedicates her free time to photography and fashion styling. At the age of 13, Valeria created her first fashion-focused blog, which developed her passion for journalism and style. She is based in northern Italy and often works remotely from different European cities. You can contact her at valerygoncharenko@mpost.io
More articles
Valeria is a reporter for Metaverse Post. She focuses on fundraises, AI, metaverse, digital fashion, NFTs, and everything web3-related. Valeria has a Master’s degree in Public Communications and is getting her second Major in International Business Management. She dedicates her free time to photography and fashion styling. At the age of 13, Valeria created her first fashion-focused blog, which developed her passion for journalism and style. She is based in northern Italy and often works remotely from different European cities. You can contact her at valerygoncharenko@mpost.io
