According to FOX Business, the United States Securities and Exchange Commission (SEC) is close to approving several spot Bitcoin exchange-traded funds (ETFs).
In a series of pivotal moments meetings held on major exchanges, including the New York Stock Exchange (NYSE), Nasdaq and the Chicago Board Options Exchange (CBOE), the SEC is reportedly finalizing review of applications for the highly anticipated exchange-traded funds (ETFs ) Bitcoin spot. .
US SEC set to make decision on Spot Bitcoin ETFs
These discussions focus on reviewing and finalizing the 19b-4 filings. Submitted by exchanges on behalf of ETF issuers, they require SEC clearance before ETFs can be sold to the public.
The discussions are a positive indication that the SEC may greenlight some, if not all, of the dozen applications from major fund managers and crypto firms for spot Bitcoin ETFs.
Although a final decision has not yet been made, insiders suggest the agency could begin notifying issuers of its approval as soon as this Friday. This development could lead to spot Bitcoin ETF trading starting next week.
Analysts and ETF issuers remain optimistic, expecting a favorable ruling from the SEC no later than January 10.
This potential approval comes amid fluctuating confidence in the crypto market. Recently, a research note from Matrixport suggested that the SEC, led by Chairman Gary Gensler, could reject all one-time applications for Bitcoin ETFs due to the Commission’s current Democratic majority and its historically cautious stance toward cryptocurrencies.
This speculation contributed to a more than 7% drop in the price of Bitcoin, following a peak near $45,000 on Tuesday, fueled by hopes of an ETF approval.
Potential Implications of Spot ETFs on Crypto Investing
If the SEC approves Bitcoin spot ETFs, it would mark a significant milestone for the cryptocurrency industry, providing retail investors greater access to the world’s largest digital asset at a lower cost than currently approved futures ETFs.
Additionally, introducing ETFs through trusted and highly regulated money management companies such as BlackRock or Fidelity could expand the pool of investors, further incentivizing them to include cryptocurrency in their investment portfolios .
An SEC spokesperson said any decisions regarding the registration statement or 19b-4 orders would be reflected on EDGAR and published on the agency’s website and in the Federal Register.
As the January 10 deadline approaches, the financial world is waiting with bated breath to see if the SEC will usher in a new era of cryptocurrency investing.
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