• The Securities & Exchange Commission has made a filing confirming that the decision on VanEck Bitcoin ETF will be delayed.
  • Currently, Grayscale Bitcoin Trust holds most of the shares in institutional investment in the cryptocurrency-related product.
  • Approval of the Bitcoin ETF would provide a more stable alternative to GBTC, providing a gateway for institutional money flow into the market. 

The Securities & Exchange Commission (SEC) has decided to extend its decision on VanEck and the Chicago Board Options Exchange’s (CBOE) application to list a Bitcoin exchange-traded fund (ETF). 

SEC to make a decision in June

VanEck filed the latest application for a Bitcoin ETF in December 2020. The SEC started the 45-day clock when CBOE filed to list the product. According to the securities regulator, it will extend the decision window by another 45 days.

The SEC now has the deadline of June 17 to make a decision. However, this decision window could be extended to 240 days in total. The official filing stated:

The Commission finds that it is appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the comments received.

VanEck has tried to get filings approved in the past. However, no Bitcoin ETFs have been approved by the SEC in the United States so far. The global investment manager’s current proposal joins one of the nine active filings for a Bitcoin ETF, including Kryptoin Investment Advisors, Galaxy Digital, Fidelity and Wisdom Tree. 

Despite a delay in deciding to be made in the United States, Bitcoin ETFs were recently approved in Canada. 

Grayscale currently dominates the institutional funds invested indirectly into cryptocurrencies with its Bitcoin Trust (GBTC). The asset management firm’s trust enables investors to be able to have indirect exposure to Bitcoin. Without holding BTC directly, institutions could still have access to the digital asset’s volatility without holding the currency in a wallet. 

The approval of a Bitcoin ETF in the United States could provide a more stable alternative to GBTC. Since exchange-traded funds are regulated traditional financial products, they would be made largely available on trading platforms, attracting large amounts of institutional money flow. 

Grayscale’s fund dominance has been in decline since the approval of multiple crypto-related ETFs in Canada. The firm announced that it is committed to converting its Bitcoin trust into an ETF.

Investors remain optimistic that with Gary Gensler leading the SEC, the United States would eventually see a Bitcoin ETF approved this year. 


Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Recommended content


Recommended Content

Editors’ Picks

US presidential election outcome could shape the future of crypto

US presidential election outcome could shape the future of crypto

US citizens will go to the polls to elect a new president on November 5, and their choice could be key for the future of the crypto industry and thus the price outlook for Bitcoin (BTC).

More Cryptocurrencies News
Bitcoin Price Forecast: BTC recovers as Donald Trump takes lead on polls

Bitcoin Price Forecast: BTC recovers as Donald Trump takes lead on polls

Bitcoin (BTC) slightly recovered to around $68,800 on Tuesday, following a shift in the United States presidential race that saw former President Donald Trump regain the lead, after US spot Bitcoin ETFs experienced an outflow of over $540 million on Monday.

More Bitcoin News
Crypto markets brace for volatility in tight race between Trump and Harris

Crypto markets brace for volatility in tight race between Trump and Harris

The US presidential election is one of the most significant events in the world. Due to the influence of the country’s political decisions, policies, and economic approaches, it can significantly impact crypto and global markets. 

More Cryptocurrencies News
Trump-inspired memecoin MAGA shows bullish on-chain metrics ahead of US elections

Trump-inspired memecoin MAGA shows bullish on-chain metrics ahead of US elections

MAGA (TRUMP) trades slightly down to around $3.4 on Tuesday after rallying more than 20% since Sunday. The former President Donald Trump-based memecoin is poised for further gains as daily active addresses and network growth metrics rise, signaling increased network usage and adoption

More Cryptocurrencies News
Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP