- The SEC has once again postponed their decision on the VanEck and Bitwise ETF Application
- 35 days have been added to the deadline
- 14 questions have also been posted to the public to aid in the decision
The quest to get the Securities and Exchange Commission to approve a crypto ETF has been a long drawn-out battle with several firms applying and many being denied. A date had been set for May 20, 2019, for the SEC to give a decision on the VanEck and Bitwise filing and many had hoped that this would finally be the concrete decision as to whether or not the ETF would go through. Unfortunately, it seems we will have to wait a bit longer for the decision as the SEC has announced that the decision on the VanEck Bitwise bitcoin ETF has been delayed.
According to official court filings, a 35 day period has been added for the purpose for the gathering of more information and opinions regarding the proposal which was filed last year by the Chicago Board Options Exchange.
Clear answers not forthcoming from the SEC
Besides the many rejections that have taken place in the quest for a crypto ETF, the SEC has, multiple times, postponed their decision regarding the issue and it seems we are experiencing yet another delay. Back in January the CBOE was forced to withdraw their initial application for a rule change during the infamous government shutdown which reduced the operation abilities of the SEC, only to reapply after the government shutdown ended on January 31, 2019.
While we continue to wait for a decision from the SEC, 14 questions were opened to the public by the Commission regarding the proposal. It is understood that the responses to these questions will help guide the SEC in making their decision. The questions are being geared towards the protection of those who will invest in the ETF against risks such as fraud. The document says:
“The Commission is instituting proceedings to allow for additional analysis of the proposed rule change’s consistency with Section 6(b)(5) of the Act, which requires, among other things, that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade,’ and ‘to protect investors and the public interest.”
When will an approval come?
This is not the first time the SEC will make a postponement of the decision of the VanEck and Bitwise ETF as they have been twice postponed since the initial filing. Either way, the crypto community is waiting on bated breath to see if the next news heard from the SEC will be the approval of an ETF which will offer in a brand new wave of investment and acceptance for cryptocurrencies in the mainstream financial market.