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SEC Delays VanEck’s Third Bitcoin Cash ETF Application

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SEC Delays VanEck’s Third Bitcoin Cash ETF Application

The U.S. Securities and Exchange Commission (SEC) has pushed back a decision on Bitcoin’s latest application (BTC) cash exchange-traded fund (ETF) by global investment firm VanEck.

The company has been trying to get the green light for what will be America’s first BTC ETF for a long time, with its first filing with the SEC dating back to 2017, which was ultimately denied.

VanEck Saw a second application rejected in November 2021 by the SEC, finding that the company had failed to meet standards aimed at protecting investors as well as preventing fraudulent and manipulative acts and practices.

VanEck persevered with a third request for a June 2022 BTC ETF offering filed with the SEC, outlining a number of reasons why the SEC should reconsider its past decisions.

Related: Bitcoin ETF: A Beginner’s Guide to Exchange Traded Funds

VanEck’s main argument was that US funds were gaining exposure to Bitcoin through BTC spot exchange-traded products offered in Canada. America’s northern neighbor has approved a spot Bitcoin ETF in February 2021thus becoming one of the first countries in the world to do so.

The deadline for approval of the last filing with the SEC was set to expire on August 27, leading the regulator to postpone its decision on the matter by nearly two months.

The SEC has given itself until October 11 to issue a decision and noted that it received no comments on the proposed rule change after calling for public comment in July 2022:

“The Commission believes it is appropriate to designate a longer period to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein.”

The push for a US spot Bitcoin ETF has been a topic of discussion since 2017, which would essentially allow institutional investors to buy shares representing Bitcoin that would be held by VanEck. This gives investors exposure to Bitcoin without having to physically own and store the cryptocurrency. VanEck intends to list its BTC ETF product on the Cboe BZX Exchange.