SEC Defers Decision on All Spot Bitcoin ETF Applications

The U.S. Securities and Exchange Commission (SEC) has delayed until October making a decision on all of the spot bitcoin exchange-traded fund (ETF) applications filed by applicants including BlackRock, WisdomTree, Invesco Galaxy, Wise Origin, VanEck, Bitwise and Valkyrie Digital Assets earlier this year, according to agency filings on Thursday.

Already down sharply on the day, bitcoin (BTC) fell further on the news.

The SEC began reviewing the latest slate of applications, from both crypto-heavy and traditional finance firms like Wise Origin (Fidelity)​, BlackRock​ and Invesco Galaxy​, last month. The applicants hope to launch the first spot bitcoin ETF, which advocates have argued would allow for greater retail investment in the bitcoin space while saving investors from the troubles of setting up a wallet or having to buy bitcoin directly.

Today's orders see the SEC holding off on any firm decision, instead extending existing comment periods and allowing for greater public feedback on the applications. The new deadlines for Wise Origin, Galaxy and WisdomTree are October 17, and it's two days later for Valkyrie. Bitwise now has an October 16 deadline.

The regulator has a total of 240 days from when it first begins its review of the applications to make a final decision to approve or deny. SEC staff have traditionally used every possible comment and review period to delay making final decisions until those 240 days have elapsed, making Thursday's agency filings expected.

Europe appears to have a head start in the field of spot Bitcoin ETFs. In the middle of last month, London-based Jacobi Asset Management, a European ETF issuer, announced that it had listed Europe's first spot Bitcoin ETF on Euronext Amsterdam, called Jacobi FT Wilshire Bitcoin ETFs.

Source: CoinDesk