In line with a Reuters report on February 29, Grayscale is lobbying the U.S. SEC to approve its spot Bitcoin exchange-traded fund (ETF) possibility.
Grayscale CEO Michael Sonnenshein mentioned:
“That is important to the pursuits of GBTC and all spot Bitcoin [exchange-traded product] Traders can acquire alternate itemizing choices for GBTC and different spot Bitcoin ETPs. “
The U.S. Securities and Trade Fee (SEC) accredited Grayscale’s Spot Bitcoin ETF (GBTC) in January. Not like most different newly accredited spot Bitcoin ETFs, GBTC was transformed from an present fund into an ETF.
Choices may tighten regulation
Sonnsenshein mentioned the SEC’s rejection of the GBTC possibility could be unfair discrimination towards shareholders as a result of the regulator has already accredited a Bitcoin futures ETF possibility.
He added that choices may additionally help spot Bitcoin ETF investing extra broadly, as they will present value discovery, help in navigating market circumstances and help hedging and revenue technology.
Moreover, the choice would deliver Bitcoin underneath regulatory jurisdiction, permitting extra market individuals, together with contract retailers and broker-dealers, to commerce funds.
Grayscale’s letter was reportedly prompted by the SEC’s choice on February 23 to publicly touch upon its ETF choices. The regulator’s discover additionally opened feedback on Bitwise’s equal ETF and different NYSE-listed trusts that maintain Bitcoin.
Beforehand, in January, the SEC opened its feedback to choices on BlackRock’s Nasdaq-listed spot Bitcoin ETF and numerous Chicago Board Choices Trade-listed spot Bitcoin ETFs.
Grayscale is a significant participant in ETFs
Grayscale’s communication with the SEC is important as a result of its previous efforts contributed to its approval. After the SEC rejected Grayscale’s software for a spot Bitcoin ETF, the corporate filed a authorized problem towards the regulator and gained, forcing the SEC to reopen the matter.
SEC Chairman Gary Gensler cited the outcomes when his company accredited the spot Bitcoin ETF, noting that the authorized consequence makes approval the “most sustainable path ahead.”
The corporate and different asset managers have additionally filed for spot Ethereum ETFs. Grayscale’s app just lately obtained help from Coinbase on February twenty first.
Whereas Grayscale’s newest letter doesn’t pressure the SEC to take any motion, the corporate’s previous significance means its feedback may have an effect on future outcomes.
