Revive? SEC Starts 9 Review of Bitcoin ETF Rejected

---

The Securities and Exchange Commission (SEC) has set a deadline for the end of October to begin reviewing proposed regulatory changes that will allow some exchange operators to set up a list of Bitcoin ETF products on their trading platforms.

In a series of documents published, on October 4, the SEC revealed that it was set to begin reviewing Bitcoin ETF applications from ProShares, Direxion, and GranitShares, which had attempted to record their funds on the NYSE Arca or CBOE BZX.

Part of the process, the SEC has amended the application for the NYSE Arca and CBOE to enter clarification information about funds that are then submitted to the agent by the exchange operator.

As such, the SEC has set a new deadline, October 26, for the public to submit statements to support, or contradict, the amended application, after which it will begin a formal review process. In the interim, SEC orders currently deny applications will remain valid.

As reported by CCN, the SEC denied this application in August, cutting expectations among many retail cryptocurrency investors that one of these funds will soon be listed on the regulated stock exchange.

Only one day later, the SEC announced that the commissioner would review the decision, which was made by agent employees. One of the commissioners, Hester Peirce, has been a vocal supporter of exchange-listed cryptocurrency products and has criticized the SEC for going beyond its mandate by making a qualitative assessment of whether investments are specifically suitable for retail investors rather than determining whether the products in which they are wrapped meet SEC guidelines.

Furthermore, the SEC conducted further investigations on other Bitcoin ETF applications - physically supported funds proposed by VanEck and SolidX - delaying the decision on the fund until at least December. However, analysts say that the possibility of the SEC will not issue a decision to revise the fund until early next year.