Lawyers Push SEC to Approve Grayscale Bitcoin ETF ‘Expeditiously’ 

Lawyers representing crypto plus manager Grayscale Investments urged the Securities and Exchange Commission (SEC) to “expeditiously” o.k. a spot bitcoin exchange-traded money (ETF) successful a missive sent to the agency. Grayscale’s missive follows a unanimous ruling by a sheet of the U.S. Court of Appeals for the D.C. Circuit Court connected August 29 that vacated the SEC’s June denial of Grayscale’s exertion to person its Grayscale Bitcoin Trust into an ETF.

Grayscale Pushes SEC for Spot Bitcoin ETF Approval, Citing Court Ruling and Investor Interests

In the letter, Grayscale’s lawyers authorities that determination is nary crushed to differentiate betwixt bitcoin futures ETFs, which the SEC has approved, and spot bitcoin ETFs similar Grayscale’s projected product. The instrumentality firms of Davis Polk and Munger Tolles & Olson penned the missive to the securities regulator.

The attorneys enactment that the SEC has rejected spot bitcoin ETF applications successful 15 orders since approving bitcoin futures ETFs without articulating a rationale for treating the products differently. Following the reasoning of the D.C. Circuit Court, they accidental the SEC cannot present enforce further surveillance requirements connected spot bitcoin ETFs beyond what is required for bitcoin futures ETFs.

The missive states:

Now that the Court of Appeals has spoken, determination is nary disposable rationale that would separate a bitcoin futures ETP from a spot bitcoin ETP nether the ineligible investigation antecedently adopted by the Commission successful rejecting spot bitcoin ETPs.

The missive points retired that Grayscale’s ETF exertion has been pending for astir 3 times the maximum play allotted for SEC enactment nether securities laws. It questions whether the SEC’s June disapproval order, which the tribunal vacated, fulfilled the agency’s work to enactment wrong required timeframes. The lawyers impulse the SEC to o.k. the ETF exertion promptly successful airy of the latest tribunal ruling.

Delaying approval, the missive argues, continues to unjustifiably harm Grayscale’s existing investors by causing its Bitcoin Trust shares to commercialized astatine a important discount to nett plus value. It besides imposes competitory harm by limiting capitalist choice. The lawyers contend that U.S. investors are being “forced into little businesslike and much analyzable merchandise structures” by the deficiency of approved spot bitcoin ETFs.

What bash you deliberation astir Grayscale’s missive to the SEC? Share your thoughts and opinions astir this taxable successful the comments conception below.