The Bag and Securities Commission (SEC) is not yet ready to make a decision on two critical characteristics that the emitters of the funds quoted in cryptocurrency exchange (ETF) Spot expect to add their products.
The regulator delayed a decision on whether it will allow the reimbursements in kind for the Bitcoin Fund of Wisdomtree (BTCW) and the Bitcoin Fund of Vaneck (Bitb) and Ethereum Fund (ETHW) on Monday. He also moved his deadline for a decision regarding a proposal of Grayscale to allow the rethinking of his Ethereum trust (Ethe) and Mini Ethereum Trust (ETH), that the exchange of the asset manager, Nyse Arca had requested in February.
CBOE, the exchange associated with five of the other emitters of an ETF of ether, including Fidelity, Franklin Templeton, Vaneck and Investo/Galaxy, presented its presentation modified in March by the Fidelity Ethereum Fund (Feth) and the Franklin Ethereum ETF (Ezet).
The SEC has not previously allowed ETF Spot ETF. But with the appointment of the new president of the SEC, Paul Atkins, who was confirmed by the Senate last week, things could change quickly.
Several other jurisdictions, including Hong Kong, Canada and Europe, already have an ETF commitment, but that does not exert much pressure on the SEC, an expert said.
“The SEC will take its time and move as fast or as slow as you want,” said James Seyffart, Bloomberg Intelligence ETF analyst. “They don’t care what other regulators are doing in my experience, they could learn from them, but I don’t think a regulator that approves something will make the SEC jump through the hoops and catch up. They will go to their own rhythm.”
The regulator now has until June 3 to make a decision on reimbursements in kind in Bitwise and Wisdomtree and June 1 products to decide on Grayscale’s bet proposal.
