SEC or the Securities Exchange Commission has demanded additional comments on issuer WisdomTress’s proposal to list a spot Bitcoin exchange-traded fund (ETF).
Earlier this year, in February, WisdomTree again filed for a spot-bitcoin product after facing rejection in December 2021. The SEC quoted a lack of surveillance and its shared agreements and the subsequent inability to restrain manipulative or fraudulent practices in the spot market. The December rejection was among the list of denials from the US securities regulator.
In February, the attempt from the WisdomTree again hit the Federal Register, and the SEC jolted on the first deadline in March. An additional 45 days to May 15 were designated per the decision. The commission said it required additional time to contemplate the proposed rule change and any comments received.
But today’s order analyzes proceedings to find out whether to disapprove or approve the rule change filed on behalf of WisdomTree by exchange CboeBZX.
The order stated that the commission is instituting proceedings to enable an additional analysis of the proposed rule changes consistent with Section 6(b)(5) of the Act, which along with other things, requires that the rules of a national securities exchange be created to prevent fraudulent and manipulative practices and acts’ and ‘to safeguard the public and investors interest.’
Commenters are asked for their opinion on whether WisdomTree’s proposed product will be affected by manipulation and whether the Bitcoin has grown to such an extent that they no longer run a significant manipulation risk. Commenters are granted 21 days to submit data and arguments and an additional two weeks to submit rebuttals to those comments.
Though regulators have granted approval to several futures-based bitcoin ETFs, the US market has yet to see a spot product. It has maintained that the spot market has yet to go into sufficient surveillance sharing arguments to stop fraud.
Some, like Grayscale Spot-ETF applicants, have put forward the argument that this makes for an unequal treatment since futures are priced in accordance with the underlying market.
Source: https://www.thecoinrepublic.com/2022/05/14/sec-asks-for-additional-comments-on-wisdomtrees-proposal-to-list-bitcoin-etf-proposal/
SEC Asks For Additional Comments On WisdomTree’s Proposal To List Bitcoin ETF Proposal
SEC or the Securities Exchange Commission has demanded additional comments on issuer WisdomTress’s proposal to list a spot Bitcoin exchange-traded fund (ETF).
Earlier this year, in February, WisdomTree again filed for a spot-bitcoin product after facing rejection in December 2021. The SEC quoted a lack of surveillance and its shared agreements and the subsequent inability to restrain manipulative or fraudulent practices in the spot market. The December rejection was among the list of denials from the US securities regulator.
In February, the attempt from the WisdomTree again hit the Federal Register, and the SEC jolted on the first deadline in March. An additional 45 days to May 15 were designated per the decision. The commission said it required additional time to contemplate the proposed rule change and any comments received.
But today’s order analyzes proceedings to find out whether to disapprove or approve the rule change filed on behalf of WisdomTree by exchange CboeBZX.
The order stated that the commission is instituting proceedings to enable an additional analysis of the proposed rule changes consistent with Section 6(b)(5) of the Act, which along with other things, requires that the rules of a national securities exchange be created to prevent fraudulent and manipulative practices and acts’ and ‘to safeguard the public and investors interest.’
Commenters are asked for their opinion on whether WisdomTree’s proposed product will be affected by manipulation and whether the Bitcoin has grown to such an extent that they no longer run a significant manipulation risk. Commenters are granted 21 days to submit data and arguments and an additional two weeks to submit rebuttals to those comments.
Though regulators have granted approval to several futures-based bitcoin ETFs, the US market has yet to see a spot product. It has maintained that the spot market has yet to go into sufficient surveillance sharing arguments to stop fraud.
Some, like Grayscale Spot-ETF applicants, have put forward the argument that this makes for an unequal treatment since futures are priced in accordance with the underlying market.
Source: https://www.thecoinrepublic.com/2022/05/14/sec-asks-for-additional-comments-on-wisdomtrees-proposal-to-list-bitcoin-etf-proposal/