SEC Delays Decision on NYDIG’s Spot Bitcoin ETF Proposal

The U.S. Securities and Exchange Commission (SEC) has extended the time period for ruling on NYDIG’s proposal for a spot bitcoin exchange-traded fund (ETF) by 60 days in order to have “sufficient time to consider the proposed rule change and any comments received.”

• The SEC’s original deadline was Jan. 15, so now it has until March 15 to make a decision.
• In recent months, the SEC has rejected spot bitcoin ETF proposals from a number of investment companies, including VanEck, WisdomTree and Kryptoin.
• It also recently delayed its decisions on spot bitcoin ETFs from Valkryie, Grayscale and Bitwise. Grayscale is owned by Digital Currency Group, which is the parent company of CoinDesk.
• In the past, the SEC has typically postponed its decisions on approving bitcoin ETFs for as long as possible.
• SEC Chair Gary Gensler has indicated multiple times that he prefers to see a bitcoin futures ETF over one that holds bitcoin directly. As of now, three bitcoin futures ETFs have begun trading in the U.S.

Read more: Institutional Bitcoin Broker NYDIG Valued at $7B in Whopping $1B Funding Round