The U.S. SEC on 10 March rejected the investment manager VanEck’s application to create a spot Bitcoin exchange-traded product .The United States Securities and Exchange Commission yesterday rejected the investment manager VanEck’s application to create a spot Bitcoin exchange-traded product ,The SEC, in essence, rejected a change that would have allowed VanEck to establish the Bitcoin trust.
The SEC opined that since there is no underlying regulated market, VanEck does not have a comprehensive surveillance-sharing agreement with a regulated market of significant size related to spot Bitcoin. “It is also clear that the Commission is using a uniquely burdensome definition of ‘significant’ in its analyses of spot Bitcoin ETP filings,” read the letter. The SEC is legally obligated to explain changes to its policy for approving commodity-based ETPs, they added.
When Cboe BZX Exchange applied to the SEC last month to list Wise Origin Bitcoin Trust, the request was denied. Following that, the regulatory body issued aThe exchange did not meet its responsibility of demonstrating that the fund is designed to prevent fraudulent and manipulative acts and to protect investors and the public interest, according to the letter.