SEC Reveals User Sentiment Regarding Bitcoin ETF Request

The SEC ruling on Bitcoin ETF that is expected to be finalized in September has seen over 97% of commenters on the SEC website manifesting genuine interest in the mater.

On June 20, the Chicago Board Options Exchange (CBOE) filled for a Bitcoin-based exchange-traded-fund (ETF) with the U.S Securities and Exchange Commission (SEC), and in response, the SEC asked for the public’s opinion on the matter. According to the comments available on the SEC website, 97% of the people have was sincerely interested in Bitcoin ETF, and wanted for it to be launched as soon as possible.

On top of the public comments, an Investor’s Business Daily report showed that the SEC has been getting a lot of emails about the Bitcoin ETF request for comments. Although the comments period now closed, it lies up to SEC’s discretion as to what it decides on the Bitcoin ETF. An anonymous inside source from SEC has shown a positive result while using specific and less optimistic terms.

A CFTC official was cited to have said:

“I would call it 90% at this point. The crypto markets have moderated and regulators have watched the lack of drama surrounding Bitcoin futures across several global exchanges. The price moderation and adoption of a ‘peer product’ is what the conversations have centered around. In January we were justifiably concerned about a bubble and the harm a quickly approved product could attract speculators and create losses that led to significant lawsuits. Now, those factors seem to be mitigated significantly.”

Cody Parm, an electrical engineer made the following comment on the SEC website:

“With the SEC passing an ETF for Bitcoin, we can now expect further legitimacy, security, and development. I don’t think anyone can deny the usefulness of blockchain technology and Bitcoin as an asset. There are much riskier investments that the SEC has passed for an ETF and this will open the doors to many people waiting at the sidelines.”

The CBOE Global Markets submitted an application for the Bitcoin ETF with the SEC by collaborating with the VanEck and the SolidX blockchain platform. CBOE will also offer support for over-the-counter (OTC) trades for accredited investors from the traditional finance segment.

“According to the Registration Statement, the Trust will invest in bitcoin only. The activities of the Trust are limited to: issuing Baskets in exchange for the cash and/or bitcoin deposited with the Cash Custodian or Trust, respectively, as consideration; purchasing bitcoin from various exchanges and in OTC transactions; delivering cash and/or bitcoin in exchange for Baskets surrendered for redemption; maintaining insurance coverage for the bitcoin held by the Trust; and securing the bitcoin held by the Trust,” stipulated the CBOE application.

The Bitcoin ETF ruling is expected to be decided by the SEC by September.

“I would expect a positive outcome in September – or if it gets strung out a little further it is simply a few ‘dotted i’s and crossed t’s’ are being finalized on larger regulatory language in the crypto space,”  said an SEC official.

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