Recently the news broke that the United States Securities and Exchange Commission (SEC) would be considering approving a Bitcoin exchange-traded fund (ETF) from the VanEck company. This company acts as an investment manager. However, now the news is that the period to approve it or not has been increased until June. Here are the details that are handled in this regard.
First, the SEC communicated that the original 45-day deadline to approve this Bitcoin ETF was extended. This happened in a presentation where the entity notified that the deadline to approve or disapprove the VanEck Bitcoin ETF would be delayed until a period between May 3 to June 17. That is, an additional 45 days.
What do we know about the delay in the approval of the VanEck Bitcoin ETF by the SEC?
According to SEC Undersecretary J. Matthew, the Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change. This was justified by saying that the idea is that there be sufficient time to consider the proposed change and the comments received.
VanEck filed the paperwork to apply for a Bitcoin ETF with the SEC in March, after having withdrawn a similar application filed in January. The latter had been in association with blockchain startup SolidX.
However, VanEck has not been the only company to apply for a Bitcoin ETF to the SEC. Both Valkyrie Digital Assets and Fidelity Investments have done this before in January and March, respectively.
The SEC has the ability to extend the deliberation window up to 240 days before issuing a final decision, with extensions of 45, 45, 90 and 60 days announced separately. Should the regulator continue to delay its decision on VanEck, it is likely that the company will not receive a final answer until November.
So far, US regulators have not approved any Bitcoin ETFs. Even with this VanEck example there seems to be a reluctance within the SEC to do so. Therefore, many experts do not expect early approval of any of these requests.