The U.S. Securities and Exchange Commission (SEC) is currently in the spotlight for hosting discussions with several groups aiming to launch spot Bitcoin exchange-traded funds (ETFs). According to FOX Business’s Charles Gasparino, insiders have learned that the SEC is organizing a unique joint conference call with those looking to introduce Bitcoin ETFs.
Unpacking the SEC’s Evaluation Approach
In these discussions, the SEC is emphasizing the need for a cash-based model among the applicants. Eleanor Terret, another FOX Business correspondent, shared that the SEC advised the groups to drop any mention of in-kind redemptions in their applications. This move is seen as a push for a stronger focus on cash operations.
There’s a buzz among market experts about what this joint call could mean, especially with January 10, 2024, marked as a key date. Many believe this might be when we’ll see a decision on these Bitcoin ETFs. This date is also tied to an Ark Invest application, and with major player BlackRock updating its filings, there’s a growing sense of optimism for a positive outcome.
A Glimmer of Hope Amidst Past Decisions
Adding to this optimism is a legal decision involving Grayscale, which obligates the SEC to review, but not necessarily approve, its ETF application. This has given the market a boost, suggesting that the SEC might be changing its stance.
However, it’s important to remember that the SEC hasn’t greenlit any spot Bitcoin ETFs so far. Despite the hopeful signs, they still have the power to turn down any proposal, and January’s decision could still surprise us.
To sum it up, the SEC’s ongoing conversations with Bitcoin ETF candidates and the approaching January deadline have stirred up excitement in the crypto world. Everyone is keeping an eye out for any official word from the SEC as the cryptocurrency regulation landscape continues to evolve.