United States Securities and Exchange Commission (SEC) has postponed its move around spot Bitcoin exchange-traded funds’ (ETFs) proposals, along with BlackRock. The decision has been taken on account of an expected government closure, as stated by Cointelegraph.
According to Cointelegraph, spot Bitcoin ETF applications of Bitwise, Valkyrie and Invesco also faced a setback due to SEC’s decision. Through a blog post, James Seyffart, ETF analyst, Bloomberg, stated that applications of VanEck, WisdomTree and Fidelity will also be facing a setback by SEC’s call. From what it’s understood, the postponement has arrived two weeks prior to the scheduled second deadline date for many applications, due to anticipation of the SEC’s call by October 16-19, 2023.
Based on Cointelegraph’s data, Seyffart highlighted that the timeline of the delays is due to the predicted US government “shutdown” expected to happen on October 1, 2023. It’s believed that this development will cause disarray to the country’s financial and federal authorities. The House and Senate, Congress’ chambers, haven’t come to an agreement on different funding bills for government affairs, as Congress is required to get 12 full-year bills authorised within October 1, 2023.
Moreover, Cointelegraph noted that SEC postponed many spot Bitcoin ETF applicants in August, 2023, on account of the first deadline. Sources suggest that the third round of deadlines of seven firms is in January, 2024, which could also be met with a delay. Expectations are that the SEC will take a final call by March, 2024.
(With insights from Cointelegraph)
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