The US Securities and Exchange Commission (SEC) has delayed its decision on the approval of five bitcoin ETFs until September.
According to public documents released on July 24, in the recent issue of the Federal Register, the SEC explains that it is postponing any decision on the possible approval of exchange-traded funds (ETF) proposals filed by Direxion Investments since January. One of the proposals is directly related to BTC’s price and the other four are based on cryptocurrency price movements.
The Commission considers it appropriate to designate a longer time limit for issuing an order approving or disapproving the proposed rule change so that it has sufficient time to consider this proposed rule change. Therefore, the Commission designated 21 September 2018 as the date by which the Commission will approve or disapprove the proposed rule change.
The SEC added that it received only two comments on Bitcoin’s ETF proposals.
While the cryptos community seems very excited about the prospect of a bitcoin ETF, the head of investment strategy at Atlantis Asset Management, Michael Cohn, said any approval would be “crazy”, CNBC reports today.
“Then they’re putting a rubber stamp on it as an asset, and I don’t think governments want to go there yet. It just seems as though it’s not something I’d want to put my clients into in any way, shape or form. You can only be embarrassed,” he added.
So far, none of the ETF proposals being postponed are from VanEck and SolidX. These are currently being discussed by the wider community. More than 100 comments have been submitted for this proposal. And a decision is expected to be made next month.
On 16 July last, BitPay announced that its acquisition of three suppliers (Keystone Capital, Venovate Marketplace and Digital Wealth) was approved by the US Securities and Exchange Commission and the Financial Industry Regulatory Authority.
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