The U.S. Securities and Exchange Commission(SEC) has delayed the decision on yet another Bitcoin exchange-traded fund which was proposed by the New York-based Wilshire Phoenix investment firm. The firm was established in 2018, and it has been functional since then.
In June, US SEC announced the public to comment on the proposed ETF in 21 days after which the commission will finalize the decision in 45 days and this time can be extended up to 90 days by the agency.
The commission is working with an additional analysis of the proposed matter under the rules of the SEC to make sure there is no fraudulent and manipulative acts and practices taking place in the trades, and the investors are safe from manipulative acts.
US SEC causing delays in Bitcoin ETF decisions
Wilshire Bitcoin ETF proposal is planning to hold its positions in Bitcoin, USD, and short-term Treasury bills. This will be done as the diversification of the portfolio would reduce the overall risks involved in the cryptocurrency market. According to the proposal report, the Wilshire Bitcoin ETF is considered as a more efficient, convenient, and less risky than investing in Bitcoin directly.
This decision of further delay by US SEC has left Wilshire Bitcoin ETF proposal to join the list of ETF’s who failed to get approval from the US SEC. The SEC is waiting for more comments on the proposal before any decision is made regarding its launch. The SEC has the power to extend the 35 days deadline to 60 days if a more extended period is needed to make the decision.