Bitcoin ETF approval will now be determined by the votes of the commissioners of United States Securities Exchange Commission. The new way forward from the series of rejection to the SEC proposal of different firms was revealed by the new commissioner, Hester Peirce, in a recent statement.
SEC Commissioners To Determine The Bitcoin ETF Applications
The SEC has rejected many Applications for Bitcoin ETF. The Winklevoss Twins, of Gemini cryptocurrency exchange application, was denied twice alongside three others whose applications were also rejected earlier this week.
The reasons cited in the previous rejections was also given in the applications rejected earlier this week. This concerns the applications not providing enough measures to combat price manipulation and also improper regulations of the crypto asset.
Surprisingly, the Bitcoin ETF rejections are now to be reviewed by the SEC Chairman and other commissioners. This was revealed through a letter from the office of the Secretary of SEC in a tweet.
Hester Peirce, in his tweet, said “The Commission (Chairman and Commissioners) delegates some tasks to its staff. When the staff acts in such cases, it acts on behalf of the Commission. The Commission may review the staff’s action, as will now happen here.”
While a portion of the letter of Mr. Brent Fields, the Secretary of the commission, to Eugene Schlanger, the Counsel of NYSE Group, Inc., reads:
“This letter is to notify you that, pursuant to Rule 43 1 of the Commission’s Rules of Practice, 17 CFR 201.431, the Commission will review the delegated action. In accordance with Rule 43 1 (e), the August 22 order has stayed until the Commission orders otherwise.”
The vote of the commissioners will review early decisions of Bitcoin ETF applications rejections. The mode of the voting is not yet stated. However, it will likely be determined by the composition of the commissioners and their political affiliations, as the Democrats and the Republicans are expected to join the commission soon.
Bitcoin ETF Rejection and Its Debate
The SEC’s reason for the rejecting earlier proposals is the volatility of the assets, as it is prone to price manipulation and the absence of regulations for the market.
Also awaiting SEC’s decision aside cryptocurrency exchanges to approve the Bitcoin ETF, are the cryptocurrency enthusiasts alike hoping that the Bitcoin ETF approval will guide against price manipulation and equally aid its regulations.
However, the decision of the SEC commissioners will determine the Bitcoin ETF applications which the crypto ecosystem awaits eagerly.