SEC shoots down spot bitcoin ETF proposals from NYDIG, Global X

advertisement

The Securities and Exchange Commission has shot down two spot bitcoin exchange-traded fund proposals, continuing a trend of rejections from the US securities market regulator. 

The rejections were for proposals submitted by NYDIG and Global X

As has been the case with rejections for other spot bitcoin ETF proposals, the regulatory filings cited a lack of surveillance-sharing agreements and the perceived inability to curb fraud or manipulative practices in the market.

"This order disapproves the proposed rule change," the SEC wrote in its NYDIG-related order. "The Commission concludes that NYSE Arca has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of Exchange Act Section 6(b)(5), and in particular, the requirement that the rules of a national securities exchange be 'designed to prevent fraudulent and manipulative acts and practices' and 'to protect investors and the public interest.'"

Last fall, the SEC moved to allow the listing of bitcoin futures ETFs for the first time. Recent months have also seen the proposal of ETF products tied to the stocks of crypto-related companies, including publicly traded miners. 

For more breaking stories like this, make sure to follow The Block on Twitter.

 

Trending Stories

Get Your Crypto
Daily Brief

Delivered daily, straight to your inbox.

The TRON Ecosystem Thrives Amidst Market Chaos

TRON DAO has announced the launch of a $10 million incentive fund in light of recent events to support Terra developers migrating to the TRON ecosystem, including TRON’s EVM compatible cross-chain solution BitTorrent Chain (BTTC), which helps facilitate the seamless transfer of assets across mainstream public chains, including TRON, Ethereum, and BNB Chain. 
Read Full Story
Sponsored Post

Layer-2 Scaling Solutions: A Framework for Comparison - Commissioned by Polygon

Ethereum had a breakout year in 2021. It’s native asset, ETH’s, market capitalization surpassed $500 billion for the first time. Its network facilitated upwards of $7 trillion value transfer. Non-fungible tokens (NFTs) emerged as another “killer application” that have put its technology on the global stage and caught the attention of the masses.
Read Full Story
May 5, 2022, 3:17PM UTC