ETFs from all 11 applicants were approved.
In a landmark decision, the US Securities and Exchange Commission (SEC) has approved the launch of the first-ever exchange-traded funds (ETFs) that hold Bitcoin.
“After careful review, the Commission finds that the Proposals are consistent with the Exchange Act and rules and regulations thereunder applicable to a national securities exchange,” according to an approval order posted on the SEC’s website Wednesday.
This decision marks a significant milestone for the cryptocurrency industry, as it opens up new avenues for investors to gain exposure to the world’s most popular digital currency.
All 11 issuers applying to list were approved. The full list of issuers is: Grayscale, Bitwise, Hashdex, BlackRock, Valkyrie, ARK, Invesco, VanEck, WisdomTree, Fidelity and Franklin Templeton.
While the approval order disappeared rom the SEC website, Bloomberg analyst James Seyffart said “it certainly looks like the Bitcoin ETF Approval order had hit the SEC website but the link is no longer working. That said, this document looks accurate to me.”
Traders are especially skittish as the SEC retracted a tweet announcing the approval yesterday, after saying their account had been compromised.
While the SEC had previously rejected spot Bitcoin ETF applications on the basis of how easily the market can be manipulated, the agency said CME’s surveillance can assist in detecting “fraudulent and manipulative acts and practices in the specific context of the Proposals.”
The approval comes after intense discussions between investment management firms, stock exchanges, and the SEC. These discussions centered on finalizing the wording changes in the filings for spot Bitcoin ETFs, a crucial step in gaining regulatory approval.
Prior to this approval, the SEC had only approved Bitcoin futures ETFs. The SEC argued that the surveillance of Bitcoin spot markets was insufficient to prevent fraud and manipulation. However, subsequent discussions and advancements in the industry led to the recognition of the potential benefits and demand for Bitcoin ETFs.
Source: https://thedefiant.io/sec-approves-spot-bitcoin-etfs-in-historic-decision