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Matter of when, not if, the SEC allows bitcoin spot ETF


According to crypto experts, a spot Bitcoin ETF may be launched as soon as this calendar year.

This optimism follows the approval by the Securities and Exchange Commission earlier in the month of a Teucrium Bitcoin Futures ETF application. This fund was submitted under the Securities Act of 1933 instead of the Investment Company Act of 40, as other bitcoin future funds do. Grayscale’s Bitcoin Futures ETFHave used.

Grayscale Investments CEO Michael Sonnenshein stated that while there are many protections for 40 Act products that 33 products do not have, they never addressed the SEC’s concerns over the bitcoin market, and its potential for manipulation, from the SEC perspective. “ETF Edge”This week.

“They’ve changed their mind and now approve a 33 Act product for Teucrium. This talks to the connection between the Bitcoin futures and the underlying spot bitcoin markets that give futures contracts their value.

He added that some of these protections included an independent board and accounting rules.

Sonnenshein stated that it is only a question of “when and not if” there will be a bitcoin spot ETF. It is possible for the SEC to violate the Administrative Procedure Act if it can’t see two identical issues, futures ETF or spot ETF, under the same microscope.

Grayscale awaits a response from the SEC on July 1st regarding whether it will be converted into a Bitcoin ETF. Sonnenshein suggested that he might sue the agency if they reject them.

Grayscale’s CEO, while he has been criticized by the SEC the loudest, isn’t. alone.

Although the SEC objected on grounds of manipulation, its request was specific to show that CME markets regulated by Bitwise Asset Management are significant in size. Matt Hougan, Bitwise Asset Management, stated the same thing during the interview.

Bitcoin has become an institutional currency. The market has institutional service providers, institutional buyers, and a robust, regulated futures trading market,” Hougan, chief information officer of the company, said.

“We obtained the bitcoin futures ETF in accordance with the 40 Act. Under the 33 Act, we have the bitcoin futures ETF. He said that the next step will be to provide pure exposure for bitcoin with a spot ETF.

ETF Trends CEO Tom Lydon explains that an increasing number of financial advisers are keen to invest in bitcoin ETFs.

2022 Bitwise/ETF Trends SurveyIt was found 82% of advisorsPrefer a spot-based bitcoin ETF to a futures-based option. Lydon stated that there has been an increase in demand for Bitcoin products, which can be purchased on traditional brokerage sites. There aren’t many options, so there is no way to go back, Lydon said.

The SEC refused to comment.