SEC Holds Meetings with Stock Exchange Representatives Ahead of Potential Spot Bitcoin ETF Approval

SEC Holds Meetings with Stock Exchange Representatives Ahead of Potential Spot Bitcoin ETF Approval

Reports suggest that the U.S. Securities and Exchange Commission (SEC) is on the verge of granting approval for several spot Bitcoin exchange-traded funds (ETFs), with insiders indicating that issuers could be notified of approval as early as this Friday, potentially enabling trading to commence next week.

Positive Signs Emerge from Pivotal Discussions with NYSE, Nasdaq, and CBOE

According to sources from FOX Business, the SEC has engaged in crucial discussions with major stock exchanges such as the New York Stock Exchange (NYSE), Nasdaq, and Chicago Board Options Exchange (CBOE). These discussions are centered around the finalization of the review process for applications related to the eagerly anticipated spot Bitcoin ETFs.

The focal point of these meetings is the revision and finalization of the 19b-4 filings, which have been submitted by the exchanges on behalf of the ETF issuers. These filings require SEC clearance before the spot Bitcoin ETFs can be made available to the public.

Potential Trading of Spot Bitcoin ETFs Expected to Commence Next Week

While the ultimate decision is pending, there is optimism among insiders that the SEC may approve some, if not all, of the dozen applications submitted by major money managers and cryptocurrency firms for spot Bitcoin ETFs. It is speculated that the agency could commence notifying issuers of their approval starting this Friday, potentially leading to the initiation of spot Bitcoin ETF trading next week.

Analysts and issuers of ETFs remain positive, anticipating a favorable decision from the SEC on or before January 10.

This potential approval comes at a time of fluctuating confidence in the cryptocurrency market. Recent speculation, fueled by a research note from Matrixport, suggested that the SEC, under the leadership of Chairman Gary Gensler, might reject all spot Bitcoin ETF applications due to the Commission’s current Democratic majority and its historically cautious stance towards cryptocurrency. This speculation led to a more than 7% drop in Bitcoin’s price, following a spike to nearly $45,000 on Tuesday driven by hopes of an ETF approval.

Potential Milestone: SEC Approval Could Offer Retail Investors Greater Access at Lower Costs

If the SEC gives the green light to spot Bitcoin ETFs, it could represent a significant milestone for the cryptocurrency industry. This approval would offer retail investors increased access to the world’s largest digital asset at a lower cost compared to currently approved futures ETFs. 

Broadening Investor Pool: ETF Introduction Through BlackRock or Fidelity Could Attract More Participants

Moreover, the introduction of ETFs through reputable and highly regulated money management firms like BlackRock or Fidelity could broaden the investor base, attracting more individuals to include cryptocurrency in their investment portfolios.

A spokesperson from the SEC emphasized that any decision related to the registration statement or 19b-4 orders would be disclosed on EDGAR, published on the agency’s website, and featured in the Federal Register.

January 10 Decision Deadline Approaches – Financial World Awaits SEC’s Verdict on Cryptocurrency Investment Era

As the deadline of January 10 approaches, the financial community awaits the SEC’s decision with anticipation, eager to witness if the regulatory body will open the door to a new era in cryptocurrency investment.

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