Main navigation

SEC Rejects WisdomTree's Bitcoin ETF Proposal

News
Thu, 12/02/2021 - 18:43
article image
Alex Dovbnya
The SEC has rejected another Bitcoin ETF, reiterating its oft-repeated concerns about market manipulation
SEC Rejects WisdomTree's Bitcoin ETF Proposal
Cover image via stock.adobe.com
Read U.TODAY on
Google News

The U.S. Securities and Exchange Commission has expectedly shot down WisdomTree's proposal to launch a spot Bitcoin exchange-traded fund.

In its order, the SEC explains that the rejection is necessary to protect investors from "fraudulent" and "manipulative" acts.   

As reported by U.Today, VanEck's spot Bitcoin ETF proposal was rejected as well in early November.    

According to Bloomberg Intelligence's James Seyffart, the regulator will highly likely deny Kryptoin's spot ETF bid as well before Christmas. 

While the SEC has greenlit futures-based ETFs in October, the regulator is hesitant to approve an ETF that will directly track the value of the largest cryptocurrency, continuing its string of rejections that started with the application of the Winklevoss twins all the way back in 2013.

Related
Scary Pattern Could Send Bitcoin Below $10,000, According to This Top Money Manager
As reported by U.Today, SEC Chair Gary Gensler recently said that Bitcoin is trading on unregulated exchanges around the globe that operate outside the U.S. regulatory register, which explains why the regulator is not on board with a spot Bitcoin ETF. 

article image
About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.