The Securities and Exchange Commission (SEC) has 45 days to make an initial decision on the Bitcoin ETF rule change proposal filed by NYSE Arca and Bitwise Asset Management.
The proposal was officially published in the federal register on February 15th, meaning that an initial decision will have to be made by April 1st.
The regulator will have the choice of approving, rejecting, or extending the proposal. The general public have been given three weeks to submit any comments relating to the proposed rule change.
NYSE Arca and Bitwise announced their intention to submit an ETF proposal earlier this year. However, due to the government shutdown, the SEC had not updated its federal register, meaning that the proposal was not being looked at.
The issue of a potential Bitcoin ETF has been a contentious one over the past year. The SEC is yet to approve an exchange-traded fund despite a number of applications from the likes of VanEck and SolidX.
Our guide to initial coin offerings: https://t.co/N1cfvEjmM6
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The most recent proposal was withdrawn by CBOE in January, although they do have plans to resubmit later in the year.
“CBOE’s decision to withdraw its filing with the SEC to list and trade shares of the VanEck SolidX Bitcoin Trust is a function of timing related to the US government shutdown as the end of the review period approaches,” the CBOE said in an emailed statement, as quoted by Bloomberg.
Whether or not a Bitcoin ETF receives regulatory approval in 2019 remains to be seen, but it would certainly add legitimacy to this juvenile digital asset class.
Concerns over price manipulation and fraud have often been cited by regulators, with the cryptocurrency markets being dubbed “the Wild West” by onlookers and those involved in the space.
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