SEC delays VanEck’s third Bitcoin spot ETF application

The USA Securities and Trade Fee (SEC) has pushed again a choice on the newest utility for a Bitcoin (BTC) spot exchange-traded fund (ETF) by international funding agency VanEck.

The corporate has lengthy been attempting to get the inexperienced mild for what would be the first BTC ETF in America, with its first utility lodged with the SEC relationship again to 2017, which was finally denied.

VanEck noticed a second application ruled out in November 2021 by the SEC, reasoning that the agency had not met thestandards to guard traders in addition to forestall fraudulent and manipulative acts and practices.

VanEck persevered with a third application for a BTC ETF offering in June 2022 filed with the SEC, highlighting a number of reasons why the SEC should reconsider its previous decisions.

Related: Bitcoin ETFs: A beginner’s guide to exchange-traded funds

VanEck’s main argument was that American funds had been gaining publicity to Bitcoin via BTC spot exchange-traded merchandise supplied in Canada. America’s northern neighbor accepted a spot Bitcoin ETF in February 2021, turning into one of many first nations world wide to take action.

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The deadline for approval of the newest submitting with the SEC was set to run out on Aug. 27, main the regulator to postpone its resolution on the matter by virtually two months.

The SEC has given itself till Oct. 11 to make a ruling and famous that it had not obtained any feedback on the proposed rule change after calling for public session in July 2022:

“The Fee finds that it’s applicable to designate an extended interval inside which to take motion on the proposed rule change in order that it has ample time to contemplate the proposed rule change and the problems raised therein.”

The push for an American spot Bitcoin ETF has been a speaking level since 2017, which might basically enable institutional traders to purchase shares representing Bitcoin that might be held by VanEck. This provides traders publicity to Bitcoin with out having to bodily personal and retailer the cryptocurrency. VanEck intends to checklist its BTC ETF product on the Cboe BZX Trade.