US SEC Chairman "Approves BTC Spot ETFs for Trading"...Thanks to Grayscale Lawsuit Defeat
"On Tuesday (local time), the SEC approved the listing and trading of a number of bitcoin spot exchange-traded products (ETPs)," U.S. Securities and Exchange Commission Chairman Gary Gensler announced on the SEC's official website. "The SEC is acting within the law and consistent with how the courts have interpreted the law," he continued. As of March 2023, the SEC had declined to approve more than 20 Form 19b-4 rule amendments for bitcoin spot ETPs. That changed when Grayscale GBTC lost a lawsuit to convert to a spot ETP. The court found that the SEC's reasons for denial were unclear and that the complaint was inadequately briefed. Under these circumstances, we believe the most sustainable path forward is to approve the listing and trading of bitcoin spot ETPs. He also outlined today's key rules for bitcoin spot ETPs, including
- Bitcoin spot ETP sponsors must provide full, fair and truthful disclosure about the product.
- Be listed and traded on a national securities exchange in the United States. The exchange must have rules to prevent fraud and market manipulation.
The SEC staff is simultaneously reviewing the S-1 securities filings of 10 bitcoin spot ETPs.
The SEC Chairman has consistently used the term ETP, not ETF, in his position paper.
