The Securities and Exchange Commission (SEC) has “no basis” to reject Bitcoin Spot ETF

In a letter dated 29 November, Grayscale Investments has questioned the Securities and Exchange Commission’s (SEC) decision to block Bitcoin Spot ETFs. The asset manager argued that the commission has “no basis” to allow investing in the derivatives market and not “in the asset itself.”

The SEC has made a series of rejections lately that includes an offering by VanEck. While Grayscale considers it “discriminately,” it is also awaiting approval on its filing to convert the Grayscale Bitcoin Fund (GBTC) into a spot offering.

Citing reasons such as strong demand for physically-backed products, Dave LaValle, Global Head of ETFs at Grayscale Investments, had previously argued,

“At Grayscale, we believe that if regulators are comfortable with ETFs that hold futures of a given asset, they should also be comfortable with ETFs that offer exposure to the spot price of that same asset.”

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