According to CEO Michael Sonnenshein, it is only a matter of time before a Bitcoin spot ETF gets approved in the United States. He recently stated that if they do not comply, he intends to sue the commission. The Teucrium Bitcoin Futures ETF was approved by the Securities and Exchange Commission earlier this month.
SEC Will Certainly Approve a Bitcoin Spot ETF, says Grayscale’s CEO
CEO Michael Sonnenshein believes it will only be a matter of time before a bitcoin spot ETF is approved in the United States. He recently stated that if they do not comply, he may file a lawsuit against the commission.
Sonnenshein told CNBC last week why the recent approval of a futures ETF bodes well for an eventual spot variant. Earlier this month, the Securities and Exchange Commission approved the Teucrium Bitcoin Futures ETF, which was filed under the Securities Act of 1933.
The Investment Act of 1940 previously permitted Bitcoin futures funds. The 33 act has a slightly alternative path to regulatory approval, perhaps opening up a new market for a spot product.
“There were numerous protections that 40 Act products have and 33 products did not,” Sonnenshein explained. Gary Gensler has regularly emphasized similar issues as justification for his preference for futures products. His argument was predicated on futures contracts traded on highly regulated exchanges in accordance with the 40 act.
Sonnenshein believes that the Teucrium ruling invalidates the commission’s prior argument against spot ETFs. As a result, according to the CEO, such a device will be approved “when not if.”
Grayscale has been one of the industry’s most vocal backers of a spot ETF. For months, the fund’s shares have been trading at a significant discount, fueling efforts to convert it into such a product. Until July, the acquisition is subject to SEC approval.
The CEO isn’t the only one who is working hard. Thousands of Grayscale investors have previously complained to the SEC about the product’s rejection. “I don’t feel safe,” one investor said, adding that capital was already flowing to friendlier jurisdictions.
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