SEC seeks additional comments on WisdomTree's Bitcoin ETF proposal

05/14 05:38

According to The Block, the Securities and Exchange Commission (SEC) has asked for additional comments on issuer WisdomTree’s proposal to list a spot bitcoin exchange-traded fund (ETF). WisdomTree refiled for a spot-bitcoin product in February of this year after receiving a rejection in December 2021. The SEC subsequently punted on the first deadline in March. That decision designated an additional 45 days to May 15. At the time, the Commission said it required additional time to consider the proposed rule change and any comments received. Commenters are asked to address whether WisdomTree's proposed product would be susceptible to manipulation and if the Bitcoin markets have grown to a place where they don't present a significant manipulation risk. Commenters will have 21 days to submit data and arguments, and an additional two weeks to submit rebuttals to those comments. A spot product has yet to reach the market in the US, though regulators have approved a number of futures-based bitcoin ETFs. In the SEC’s rejection orders, it has maintained that the spot market has yet to enter into sufficient surveillance sharing agreements to mitigate fraud.
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