The decision on approving or disapproving the rule change of 5 bitcoin-related exchange-traded funds was postponed by the Securities and Exchange Commission (SEC) till September 21.
This fact was stated in the latest edition of the Federal Register. Five Bitcoin ETFs include Direxion Daily Bitcoin Bear 1X Shares, Direxion Daily Bitcoin 1.25X Bull Shares, Direxion Daily Bitcoin 1.5X Bull Shares, Direxion Daily Bitcoin 2X Bull Shares, and Direxion Daily Bitcoin 2X Bear Shares. The application was filed by fund provider Direxion.
According to the Bitcoinist, Direxion Asset Management LLC planned to list those Bitcoin ETFs on Intercontinental Exchange Inc’s NYSE Arca, so that in January the Arca Inc. sought approval to list and trade their Bitcoin ETFs.
You would think that the whole crypto world is waiting for the SEC to approve these funds, however, some people still are against of it. CNBC reported that chief investment strategist at Atlantis Asset Management, Michael Cohn, said that any approval would be “insane”. Moreover, he doubts that “governments want to go there yet”.
It`s important to notice that there wasn`t any mention about VanEck and SolidX, who continue to make a case for their approval. On July 20, VanEck sent a letter to the SEC, expressing the belief that the industry is ready to accept and support the ETF. The letter states that VanEck has qualified answers to the questions of the cryptocurrency valuation, its liquidity, etc. Furthermore, they believe that the proposed ETF will meet the SEC’s task of protecting investors.
VanEck has swung back at the SEC, defending its ETF in a July 20 letter to the agency, showing the liquidity and diversity of bitcoin markets: pic.twitter.com/0KdOuGDtnl
— Frank Chaparro (@fintechfrank) July 24, 2018
It is important to notice that previously the SEC rejected all applications for the launch of Bitcoin ETFs. Also, we would like to remind you that Coinbase exchange admitted that it was wrong stating that it got an approval from the SEC.
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