According to an announcement made yesterday, the U.S. Securities and Exchange Commission (SEC) is set to rule on the VanEck-SolidX bitcoin ETF proposal. The agency has already begun proceedings to decide whether they will approve the proposed bitcoin exchange-traded fund.
The SEC has already published an order to institute proceedings that will determine whether to approve or disapprove the proposed rule change that was filled by Cboe BZX Exchange, Inc. If the SEC approves, Cboe will be free to list a bitcoin ETF that was pitched earlier this year by VanEck a money management company and SolidX, a crypto startup.
Now the SEC is seeking assistance from the Public on their opinion on the Bitcoin ETF proposal. According to the agency, they have so far received about 1,400 comments from the public on the issue.
Brent Fields, the SEC secretary writes:
“Institution of such proceedings is appropriate at this time given the legal and policy issues raised by the proposed rule change. The institution of proceedings does not indicate that the Commission has reached any conclusions concerning any of the issues involved. Rather, as described below, the Commission seeks and encourages interested persons to provide comments on the proposed rule change.”
Under the terms of the proposal, SolidX and VanEck will create a bitcoin trust where SolidX will list shares. Having already delayed the decision on this bitcoin ETF, the SEC could delay it again up to February under the existing regulations.
Recently, the SEC Commissioner Hester Peirce asked the SEC not to limit the emergence of new products based on the perceived weakness of the crypto markets. She was addressing the SEC’s decision to reject the Winklevoss bitcoin ETF proposal.
Through a letter of dissent, she said that the SEC decision was not based on analyzing bitcoin or the blockchain as a viable innovation and investment.
She adds that as the market stands currently, its complex in that only a particular type of investor can be able to pursue the diversified opportunities these assets offer. However, through innovative products like ETFs people can access cryptos indirectly or even hedge their crypto holdings.
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