Published: Fri, August 10, 2018
Economy | By

US SEC Postpones VanEck-SolidX Bitcoin ETF Decision Until September 30

US SEC Postpones VanEck-SolidX Bitcoin ETF Decision Until September 30

The SEC now has until september 30 to "approve or disapprove, or institute proceedings to determine whether to disapprove" a proposed rule change from Cboe Global Markets Inc. that would allow the listing of an ETF from VanEck Associates Corp. and SolidX Partners Inc., the regulator said in a statement.

Bitcoin's market dominance is holding steady at 49.1%, having taken a 7.76 per cent hit in 24 hours. The cryptocurrency market came reeling as a result with investors taking a negative view of the development. As we already reported, the final decision date of the VanEck Bitcoin ETF has been postponed to 30.09.2018.

The SEC now has until 30 September to "approve or disapprove, or institute proceedings to determine whether to disapprove" a proposed rule change from Cboe Global Markets Inc. that would allow the listing of an ETF from VanEck Associates Corp. and SolidX Partners Inc., the regulator said in a statement. The agency previously denied an attempt to list the ETF in March 2017. The SEC received more than 1,300 comments on the proposed rule change as of August 6, it said. The decisions are set to be made by September 15. "However, the SEC has said it can push out this response period to 90 days 'if it finds such longer period to be appropriate.' Either way, the crypto community have it on their radar".


Regarding the SEC's latest decision to reject a bitcoin ETF, Peirce mentioned that her colleagues went through an analysis and figured the proposed rule change is not consistent with the Securities Exchange Act. What we know, from the Winklevoss ruling, is that the SEC still sees a market that is not mature and with large issues to solve before it can safely be traded as an ETF.

In July, Van Eck submitted a 13-page report to the Commission addressing various concerns the SEC has related to the ETF such as valuation, liquidity, custody, arbitrage, and potential manipulation.

Morehead also noted that current perceptions of a listless Bitcoin market are largely based on perspective and reminded viewers that Bitcoin prices are up "82 percent year-on-year, so it's still doing very, very well". Both companies are now waiting for their ETF proposal to be approved by the agency. Experts like Brian Kelly of BKCM LLC have earlier pointed out that an SEC-approved BTC ETF in 2018 is highly unlikely. Let us know in the comments section below.

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