Global investment giant Black Rock doesn’t like how SEC is treating Bitcoin spot ETF and futures ETF applications differently.
Coverage:
Regulatory Rules Are Same For Both Spot And Futures ETFs
The discontent is mainly fueled by the fact that there are no special procedures to be considered by SEC in order to approve a Bitcoin spot ETF. In fact, the rules followed when considering a futures ETF are the same rules that apply in the case of a spot ETF. Interestingly, Gary Gensler himself expressed the same concerns during his days at MIT.
So it begs the question of why SEC is so reluctant to give make a clear decision when it comes to Bitcoin spot ETF applications tabled by Black Rock and others. SEC keeps kicking the can down the road and postponing the final decision.
This policy of dilly-dallying has made SEC, and especially its Chairman Gary Gensler, a target of ridicule and anger from among the vast crypto and Bitcoin community. A few months ago, SEC filed a case against Black Rock for misconduct as an investment advisor.
Analysts See A 90% Chance Of Bitcoin Spot ETF In Early 2024
Just recently, SEC was embroiled in a court battle with Grayscale. The regulator lost the case and showed no appetite to file an appeal. The main theme of the battle was Grayscale’s intent to convert its Bitcoin holdings and investment fund into a Bitcoin spot ETF.
Since SEC is not appealing the verdict, it goes without saying that Grayscale’s ETF will soon go live. As such, it’s also expected that SEC will be pressured to deliver decisions on the other applications currently before it.
Many analysts have predicted a massive affect of various Bitcoin spot ETFs in the Bitcoin market in the coming months. As a matter of fact, the main predictions claim this will happen sometime in early 2024, and might even be right before the next Bitcoin halving event expected to occur in April.
It’s A Litmus Test For Black Rock And Others To Go All In
Black Rock has had a pretty impressive ETF approval record, with only less than 5 applications turned down – out of over 500. This has made many have renewed confidence in a BTC spot ETF being approved soon or later despite the delays.
Such a development would most likely attract even more players into the Bitcoin market especially considering that Black Rock is a major financial giant and trusted in many sectors.
