Decision on Bitcoin ETFs Delayed Until September by SEC

Article by · July 24, 2018 ·

The public documents reveal on Tuesday that a decision on whether to approve five bitcoin-related exchange-traded funds (ETFs) has been delayed by the U.S. Securities and Exchange Commission (SEC) until September.

The SEC explains in the latest edition of the Federal Register that it is suspending any decision that has to do with the possible approval of ETF applications filed by Direxion Investments in January. Among the decisions is directly connected to bitcoin’s price and four of them depends on the cryptocurrency’s price movements.

The SEC explained that:

“The Commission finds it appropriate to designate a longer period within which to issue an order approving or disapproving the proposed rule change so that it has sufficient time to consider this proposed rule change. Accordingly, the Commission … designates September 21, 2018, as the date by which the Commission shall either approve or disapprove the proposed rule change.”

Also, the SEC stated further that only two comments were received on the proposed ETFs.

The CNBC reports today that as the crypto community basically appears to be delighted at the vision of a bitcoin ETF, Michael Cohn, the Atlantis Asset Management chief investment strategist made mentioned that any endorsement would be “insane,”

“Then they’re putting a rubber stamp on it as an asset, and I don’t think governments want to go there yet. It just seems as though it’s not something I’d want to put my clients into in any way, shape or form. You can only be embarrassed,” he stated further.

Remarkably, not any of the ETF proposals rescheduled are from VanEck and SolidX, that is presently being discussed by the broader crypto community. A decision may occur as soon as next month as over 100 comments has been submitted for that proposal.

 


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