The SEC’s opinion on the Bitcoin ETF application suggests delays are possible. Here’s what to expect:
In recent news, we reported that there may be hints that the SEC may approve the first line of ETFs, but today’s latest update shows that clouds of uncertainty are looming over the horizon again. The SEC recently shook up the markets by issuing additional comments on the spot Bitcoin ETF filing. Especially since the cryptocurrency community was hoping for an approval announcement before the upcoming January 10, 2024 deadline. This surprising move by the regulator comes amid high expectations and speculation surrounding the approval of these ETFs.
Different interpretations of the SEC’s actions
Perianne Boring, president and founder of the Chamber of Digital Commerce, recognizes the SEC’s move: signal The approval process is being delayed. In contrast, Bloomberg analyst James Seyffart said: View These additional comments are part of the SEC’s expedited evaluation and suggest that the SEC’s expedited processing of Form S-1s represents a proactive approach rather than an intentional delay strategy.
Deadline pressures and industry expectations
The SEC faces an important deadline of January 10, 2024 to make a decision on the filing of the Ark 21Shares spot Bitcoin ETF. Several major players have submitted applications since the initial submission, including Blackrock, Fidelity, Bitwise, Van Eck, and Valkyrie.
The recent 19b-4s resubmissions by nine issuers represent active efforts to meet regulatory requirements for ETF approval. Interestingly, there has been a notable absence of refiling of Blackrock’s iShares Bitcoin ETF as of January 8, 2024, which has heightened curiosity within the industry.
Analysts are optimistic about potential approval, suggesting that modifications could be made after approval, even if approval is not immediate. This raises questions about whether the SEC will meet the January 10 deadline for approval of the first US Bitcoin ETF.
The SEC’s communication strategy regarding the Bitcoin ETF attracted attention and led to a closer look at the EDGAR database for potential leads. While speculation about the likelihood of confirmation hosted on EDGAR is implied, other guidance may also emerge via the SEC website and the Federal Register.
Market Impact on BTC Price
Amid these developments, the price of Bitcoin surged past $47,000 on January 8, 2024. This notable rise hints at market expectations and positive sentiment as traders and investors appear optimistic about the SEC’s approval of a Bitcoin ETF, potentially opening a new avenue for the cryptocurrency. For institutional investment.