SEC Lining Up Bitcoin ETF 'Wave of Approvals' in January: Bloomberg Analyst
The SEC appears to be preparing to approve all ETF proposals at the same time.
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The Securities and Exchange Commission (SEC) has delayed making decisions on whether to approve or disapprove proposals to list and trade shares of two bitcoin exchange-traded funds (ETFs) – the Franklin Bitcoin ETF and the Hashdex Bitcoin Futures ETF. Bloomberg ETF Analyst James Seyffart suggested on Twitter that the SEC could be lining up a batch of bitcoin ETF approvals for early January by delaying decisions until now.
— James Seyffart (@JSeyff) November 28, 2023
In separate orders, the SEC instituted proceedings to allow for additional analysis regarding whether the proposals are consistent with the Securities Exchange Act and investor protection rules. The SEC has requested public comments on issues such as the potential for manipulation of the funds and underlying bitcoin markets.
The Franklin Templeton proposal would list the Franklin Bitcoin ETF tracking the price of Bitcoin, while the Hashdex ETF would invest in Bitcoin futures contracts and Bitcoin. Both filings claimed their structures would limit manipulation risks that have held up past Bitcoin ETF applications.
The SEC will make a final decision to approve or disapprove the proposed rule change by January 3, 2024. Interested parties have 21 days to submit initial comments to the SEC on this proposal, with rebuttals due 35 days after publication in the Federal Register.