Title: SEC Delays Decision on ARK Investment Management’s Bitcoin ETF, Opening Comment Period
The US Securities and Exchange Commission (SEC) has announced a delay in its decision regarding the approval or disapproval of ARK Investment Management’s spot Bitcoin exchange-traded fund (ETF). The regulatory body has also opened a 21-day comment period for the ARK 21Shares Bitcoin ETF, allowing industry participants and the public to provide their input.
ARK filed the ETF in May, giving the SEC until January 2024 to reach a final decision. To be listed on the Cboe BZX Exchange, the applicant must provide evidence of a “comprehensive surveillance-sharing agreement” with a regulated market of significant size.
This delay comes after the SEC previously rejected ARK’s crypto ETF proposals due to concerns about fraudulent and manipulative acts and practices. However, ARK Investment Management’s CEO, Cathie Wood, had predicted the delay and remains optimistic about the future approval of multiple spot Bitcoin ETFs.
ARK is not the only firm seeking approval for a spot crypto ETF. BlackRock and other companies have also applied for listings. Currently, the SEC has not approved any spot crypto ETF applications but does allow investment vehicles linked to Bitcoin futures.
Another notable development in the ETF space involves Grayscale, which is currently embroiled in a legal battle with the SEC over the listing of its Bitcoin trust as a spot Bitcoin ETF. The outcome of this battle could have implications for the broader ETF landscape as well.
It remains to be seen whether the SEC will approve any spot crypto ETFs in the future. However, market participants are eagerly awaiting any positive developments, as the introduction of a Bitcoin ETF would bring greater accessibility and legitimacy to the cryptocurrency market.
As the comment period for ARK’s Bitcoin ETF begins, industry players and enthusiasts will have the opportunity to contribute their perspectives, potentially influencing the SEC’s decision-making process. With the growing interest in digital assets, the SEC’s determination will have a significant impact on the future of Bitcoin ETFs and their availability to investors.