The U.S. Securities and Exchange Commission (SEC) has reportedly progressed to discussing intricate product mechanics with asset managers hoping to launch bitcoin exchange-traded funds (ETFs). The report suggests key approvals may soon emerge.
Crediting information from anonymous industry executives, Reuters reported Thursday that talks have advanced from previous levels to substantive details.
Areas under review span structural specifics around custody, creations, redemptions, disclosures, and more, as over a dozen issuers await rulings after years of rejections.
13 firms await Bitcoin ETF approval
Firms engaged comprise major players like BlackRock, ARK Invest, Invesco, and Grayscale. The latest exchange to file for a Bitcoin trust is Pando via the CBOE exchange. The nature of discussions implies one or more filings could get cleared soon.
An SEC-approved, physically-backed bitcoin ETF remains coveted for granting Wall Street clients mainstream, regulated exposure.
Accordingly, Bitcoin has rallied to 20-month highs in December, likely fueled in part by the growing prospects of suitable ETF products, unlocking a flood of institutional investment next year.
The asset rose from a monthly low of $34,545.82 to a high of $44,400 before falling to its current price of $43,730 at press time. Despite all the buzz, ETF rejections remain possible given the SEC’s guarded stance on crypto innovation.
It is not just Bitcoin ETFs that are facing a delay in approval. The Ethereum trust filing by Grayscale also got delayed, according to the latest details. Even though the due date was set for Dec 6, Bloomberg ETF analyst James Seyffart mentioned in his tweet that the delay is completely normal.
Despite all the delay and uncertainty, the crypto industry remains steadfast in the belief that the SEC will soon approve the much-awaited Bitcoin ETF.