The US Securities and Trade Fee (SEC) has postponed its resolution on the New York Inventory Trade’s proposal to introduce choices buying and selling on spot Bitcoin Trade Traded Funds (ETFs).
Grayscale Bitcoin Belief and Bitwise Bitcoin ETF are immediately affected as a result of they maintain BTC on the NYSE.
SEC postpones resolution on spot buying and selling in BTC ETF choices
The SEC cited in its April 8 submitting that it wants extra time to take motion on the proposed rule change to permit enough time to deliberate on it. Notably, the subsequent deadline for the SEC to delay, approve or deny the proposed rule change is Might 29.
The rule change proposal was filed with the SEC in February 2024, after which it was opened for public suggestions. The proposal would permit buying and selling choices on sure Bitcoin ETFs by amending Rule 915.
Choices are monetary derivatives that permit traders to take a position on the motion of underlying property, creating hedging and leverage.
The identical keep resolution for Grayscale and Bitwise was issued final month for Nasdaq’s request for choices buying and selling on BlackRock’s iShares Bitcoin Belief (IBIT).
In an earlier submitting on March 6, the regulator additionally delayed responding to requests from the CBOE alternate and the Miami Worldwide Securities Trade to supply spot Bitcoin ETFs choices.
Grayscale CEO Urges SEC to Get Spot Bitcoin ETF Choices
Michael Sonnenshein, the CEO of Grayscale, was considered one of two individuals who approached the SEC with a request to alter the rule on choices buying and selling.
In a Feb. 28 letter, Sonnenshein stated it solely made sense for the SEC to approve choices buying and selling on the spot Bitcoin ETFs for the reason that regulator had already accepted futures and spot ETFs on the NYSE.
In a Feb. 5 put up, Sonnenshein wrote that choices for spot Bitcoin ETFs may result in a “strong and wholesome market.”
In the meantime, the SEC remains to be deliberating on the seven spot Ethereum ETFs, having postponed the choice till Might 23, the identical deadline set for the VanEck ETF software.
Spot Bitcoin ETFs have been on an upward development this 12 months and are attracting consideration outdoors america. Just lately, mainland Chinese language-based fairness funds have filed functions to launch spot Bitcoin ETFs by way of their Hong Kong subsidiaries. One of many funds, Harvest Fund Administration’s Hong Kong department, has been awaiting approval from Hong Kong’s Securities & Futures Fee (SFC) since January.
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