Grayscale Investments has asked American clients to post messages to the Securities and Exchange Commission (SEC), deciding if to accept or disapprove the company’s proposal for a BTC spot ETF (exchange-traded fund).
Executive officer of the investment firm, Michael Sonnenshein, stated, “This campaign intends to inform and motivate the investors to act and express their position on this important issue.”
Grayscale Starts An Awareness Campaign
On Twitter, Sonnenshein has confirmed the commencement of an awareness campaign for clients based in the United States to voice their concerns to the commission before a verdict is reached on the Bitcoin investment option. The commission had postponed its ruling twice from when the NYSE Arca applied with the regulating agency on the 19th of October to register the firm’s BTC ETF shares under the acronym GBTC. The first time was on the 15th of December, and the second was on the 4th of February.
As stated by Craig Salm, the Chief Legal Officer of the company, the investment giant has gotten over 200 letters endorsing the decision of the regulatory body to enable the company to restructure its BTC Trust to a physically-backed investment. A few of the recurring themes in the feedback, according to Salm, include calling a virtual currency ETF “in the best interest of the people,” permitting the U.S. to remain marketable with creative investment options. Also, it included criticisms of the regulator’s “irrational” decision to approve ETFs connected to BTC futures but still not Bitcoin spot ETFs.
SEC Might Reach A Decision In July
The SEC’s deferral on the 4th of February gave “interested individuals the opportunity to make comments on the suggested rule change” for the firm’s Bitcoin spot ETF. The commission can extend the consideration period up until 240 days from the day the requested change in the rule was filed in the state’s Federal Register on the 8th of November. This implies that a decision will be made before the 6th of July, 2022.
The Securities and Exchange Commission (SEC) is still yet to approve any investment option with direct contact to cryptocurrency. The SEC has already authorized the BTC Strategy ETF of ProShares for inclusion on the NYSE and shares of Valkyrie’s ETF fund for inclusion on the Nasdaq market in October. After this time, Grayscale submitted a request to reorganize its BTC Trust into an Exchange Traded Fund.
If the commission authorizes it, Grayscale will have the first openly traded BTC spot ETF in the U.S. The watchdog has previously turned down proposals from Fidelity regarding its Wise Origin BTC Trust as well as its First Trust SkyBridge BTC ETF Trust this year. But the agency is likely to make a verdict in March on NYDIG’s spot BTC ETF and that of Stone Ridge Holdings Group.
