The US Securities and Exchange Commission (SEC), which was challenged by Grayscale’s legal victory, is set to decide on the first of seven applications for spot Bitcoin ETFs on Thursday.
The SEC has been cautious due to concerns about potential Bitcoin market manipulation. Bitwise’s decision is due on Sept. 1, followed by BlackRock, Fidelity, Invesco, VanEck, and Wisdomtree on the next day. Valkyrie’s application will be decided on Sept. 4.
Higher Probability of Bitcoin ETF Applications Being Approved
The deadlines are close after Grayscale’s legal victory against the SEC.
According to Bloomberg ETF analyst James Seyffart, this win makes it more likely that the other applicants will also succeed.
First option is that they just approve $GBTC conversion and spot ETF applications like all of CT hopes. haha
*BUT* If the SEC wants to stop spot Bitcoin ETFs from listing they have two main options in my eyes pic.twitter.com/Du3GRQMUgE
— James Seyffart (@JSeyff) August 29, 2023
The SEC might take more time to decide on the pending applications. The regulator has set two additional possible deadlines for each application. The ultimate deadlines for the SEC to make decisions on these applications are in March of next year.
Grayscale Triumphs in Lawsuit Over Spot Bitcoin ETF Against SEC
The big digital asset manager, Grayscale, achieved a major victory over the SEC. The SEC had said no to Grayscale’s request to change its GBTC into a spot Bitcoin ETF, claiming the product didn’t stop fraud and manipulation.
Yet, Judge Neomi Rao from the US Court of Appeals decided to look at Grayscale’s ETF request and said the SEC’s order to reject GBTC should be canceled.
Grayscale’s CEO, Michael Sonnenshein, mentioned that their legal team is checking out the court’s choice.
🚨 JUST IN 🚨
The D.C. Circuit ruled in favor of @Grayscale in our lawsuit challenging the SEC's decision to deny $GBTC's conversion to an ETF!
Thank you to everyone who has been on this journey with us, especially our investors. We are grateful for your support and…
— Sonnenshein (@Sonnenshein) August 29, 2023
The Grayscale Bitcoin Trust is the biggest Bitcoin fund, holding more than $14 billion worth of assets.
The value of GBTC shares usually goes up or down along with Bitcoin’s price and things happening in the crypto world. This product lets investors indirectly follow how the price of Bitcoin changes.
US Lawmaker Demands Removal of Gary Gensler
Grayscale’s victory over the SEC has caused a chain reaction. US Congressman Warren Davidson has asked for the removal of SEC Chair Gary Gensler.
More evidence that Gary Gensler’s actions at the SEC are arbitrary and capricious. #FireGaryGensler https://t.co/1qYVnki8ja pic.twitter.com/IG2t6i9V40
— Warren Davidson 🇺🇸 (@WarrenDavidson) August 29, 2023
The Congressman believed that the Grayscale’s win showed further proof that Gensler’s actions were random and unpredictable.
The Chair of the House Financial Services Committee, Patrick McHenry, also commented on the ruling, mentioning that Gensler’s negative comments about digital assets should stop.
Important:Â Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
Join Cryptos Headlines Community
Follow Cryptos Headlines on Google News
