- Investment fund Grayscale has asked the SEC to approve all applications for a spot bitcoin-ETF.
- Applications by Grayscale and other funds should be approved simultaneously, the company said.
- The firm’s lawyers see no obstacles to the SEC’s rejection.
Grayscale Investments has asked the US Securities and Exchange Commission (SEC) to approve applications to create a bitcoin-ETF.
The fund’s general counsel Craig Salm clarified that lawyers have already sent a letter to the SEC staff in this regard. The authorization is a necessary measure to level the playing field for other funds.
Grayscale’s lawyers see no obstacles to a positive decision, as the commission has already authorized bitcoin futures ETFs. The two types of funds are “inextricably linked,” the company said. The firm also added that it’s in investors’ best interest to “approve all requests at the same time.”
“If the SEC decides to approve one or more applications for a spot bitcoin ETF, it should do so in a fair and impartial manner,” the statement said.
As a reminder, in addition to Grayscale, several other companies have filed applications to create an exchange-traded cryptocurrency fund: BlackRock, Valkyrie, Invesco, ARK Invest, Wisdom, Fidelity and VanEck. Cryptocurrency exchange Coinbase is expected to partner with the organizations and help protect the rights of investors. However, Grayscale concedes that working together with Coinbase may not meet SEC requirements.
Reminder that the SEC previously rejected a request to convert Grayscale Bitcoin Trust (GBTC) into an ETF, but approved a number of futures products. After a negative response, the company sued the SEC.
Grayscale is a subsidiary of Digital Currency Group and operates the world’s largest crypto fund, GBTC. With it, institutional investors can access bitcoin without owning it directly.
On June 15, 2023, investment firm BlackRock filed an application to create a spot bitcoin-ETF. Later, other organizations followed suit. The regulator responded with a denial, citing a lack of detailed information on joint surveillance. Following the changes, the regulator accepted the funds’ applications for review on July 14, 2023.
After making the changes, the regulator accepted the funds’ applications on July 14, 2023.