The US Securities Exchange Commission has a history of delaying the approval of Bitcoin ETFs. The regulatory hurdles and the indefinite rejections in the past have dented the hopes of a quick SEC approval. Crypto-enthusiasts have already been frustrated by the SEC’s reluctance to sign off on an ETF. In what is the most recent development, the US SEC further delayed passing its judgment on the VanEck Bitcoin Trust.
US SEC continues to delay its BTC ETF decision.
The SEC usually delivers a decision on a particular application within 45-day windows. However, to date, the agency has used the upper cap, 240 days, to review most of the Bitcoin ETF applications and has ended up rejecting them. This is the second time that the regulatory body has extended its review period by 45 days for VanEck’s ETF. Earlier this year, the SEC stated that it needed “sufficient time” to evaluate the BTC ETF proposal. The crypto community had hoped that the change in administration would result in a BTC ETF proposal, but a BTC ETF prospect still looks remote.
SEC seeks public comments on BTC ETF.
The SEC has asked for public comment on VanEck’s BTC ETF application. People can answer questions with relevant data to substantiate their views on how vulnerable the ETF would be to “market manipulation” and whether or not the regulatory ecosystem has “changed” since 2016. Other questions require the participants to shed light on their views about the “transparency” of Bitcoin and their standpoint on the “size and regulation” of CME’s Bitcoin futures contracts. The SEC has repeatedly highlighted its concerns over fraud and manipulation in the BTC markets for denying a BTC ETF its approval until now.