SEC Delays All Bitcoin ETF Approvals, Sets New Deadline for 2024

The United States Securities and Exchange Commission (SEC) has again delayed its decision to approve several Bitcoin Exchange-Traded Fund (ETF) applications.

Notably, the agency approved in a 3-2 vote, with Chairperson Gary Gensler and Commissioner Hester Peirce holding opposing views.

This action is a major blow to the digital asset industry, which had been anticipating a Bitcoin ETF approval in the coming months.Also, the SEC's decision comes after frustrating years of scrutiny as the agency scuffles over the complications of implementing the super-dynamic crypto landscape into mainstream financial markets.

Delayed Evaluation: The SEC Prolongs Deadlines Amid Increasing Investor Interest

The SEC has been exceedingly reluctant to approve a Bitcoin Exchange-Traded Fund (ETF) for years. Its recent action hinged on worries about lacking a trusted price discovery mechanism for BTC and crypto market manipulation.

Moreover, the regulatory caution implemented by the SEC reflects the dynamic and ever-changing nature of the digital asset market.But the financial and securities regulator's decision impacts the crypto and blockchain industries and dramatically affects the broader financial sector.

Approving a Bitcoin ETF could attract institutional and retail investors with a simpler, more secure, and regulated means of exposure to Bitcoin. Even at that, regulators globally must prioritize market integrity and investor protection above everything else for various reasons.

Two of these reasons include the distributed and often uncontrolled nature of the underlying cryptocurrencies and the possibility of market manipulation.That's why the existing conversations regarding Bitcoin ETF approval are common to the US and other jurisdictions that closely monitor Bitcoin ETFs.

The Crypto Industry Reacts to Approval Decision

Due to the SEC's decision to delay and set deadlines for all Bitcoin ETF approvals, many crypto pundits believe the US financial watchdog's perception of Bitcoin is outdated. They also believe the regulator's approach impedes the acceptance of Bitcoin as a legal asset class.

It is worth noting that the US SEC's decision has gained much attention from many crypto and financial pundits globally.Many are disappointed and are imploring the SEC to revisit its decision.

They argue that the SEC's concerns regarding a lack of trustworthy price discovery mean and crypto market manipulation are unfounded.

UPDATE: As expected. We have a delay letter from the SEC on the @ARKInvest / @21co__ #Bitcoin ETF filing. https://t.co/FTGeM0oIdK pic.twitter.com/g7quClLeCl

- James Seyffart (@JSeyff) August 11, 2023

Nonetheless, the SEC's decision is not a death sentence for the cryptocurrency industry. However, it offers an opportunity for the digital asset industry to continue evolving and introduce solutions to tackle the concerns of financial regulators worldwide.

BREAKING

SEC HAVE DELAYED AND SET
DEADLINES FOR ALL BITCOIN ETF
APPROVALS TO MARCH 2024

- Ash Crypto (@Ashcryptoreal) August 15, 2023

Therefore, it allows crypto firms, exchanges, and market participants to improve security measures, transparency, and compliance structures to bridge trust between regulators of different countries.

The post SEC Delays All Bitcoin ETF Approvals, Sets New Deadline for 2024 appeared first on The Tech Report.