The U.S. Securities and Exchange Commission has asked Bitwise to clarify how the investment firm will prevent share manipulation, fraud and other potential issues in its proposed spot bitcoin exchange-traded fund (ETF), according to a notice to the company on Tuesday.
The agency also flagged its concerns about the Bitwise Bitcoin ETP Trust’s liquidity and transparency and requested more color on the “suitability” of bitcoin as the underlying asset for the fund.The SEC’s request veered from its serial denials to date of other proposed spot bitcoin exchange-traded products (ETP).Over the past two months, the agency has rejected spot bitcoin ETF applications from WisdomTree, Krypton, SkyBridge and Fidelity. It is weighing a number of other applications from investment firms.In December the SEC delayed a decision on the spot bitcoin applications of Bitwise and Grayscale, a unit of Digital Currency Group, which is also the parent company of CoinDesk.Bitwise will have 21 days to respond to the SEC’s concerns.
Read more: SEC Delays Decision on Grayscale and Bitwise Spot Bitcoin ETFs
Read MoreFeedzy
The U.S. Securities and Exchange Commission has asked Bitwise to clarify how the investment firm will prevent share manipulation, fraud and other potential issues in its proposed spot bitcoin exchange-traded fund (ETF), according to a notice to the company on Tuesday.
The agency also flagged its concerns about the Bitwise Bitcoin ETP Trust’s liquidity and transparency and requested more color on the “suitability” of bitcoin as the underlying asset for the fund.
The SEC’s request veered from its serial denials to date of other proposed spot bitcoin exchange-traded products (ETP).
Over the past two months, the agency has rejected spot bitcoin ETF applications from WisdomTree, Krypton, SkyBridge and Fidelity. It is weighing a number of other applications from investment firms.
In December the SEC delayed a decision on the spot bitcoin applications of Bitwise and Grayscale, a unit of Digital Currency Group, which is also the parent company of CoinDesk.
Bitwise will have 21 days to respond to the SEC’s concerns.
DISCLOSURE
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
The bank’s volatility-adjusted bitcoin-to-gold model still points to a theoretical price around $170K over the…
What to Know: IMF concerns about dollar stablecoins eroding local currencies reinforce the appeal of…
Another $113 million exited on Thursday, putting the fund on track for a sixth week…
Bitcoin’s early week rally unraveled as sharp ETF outflows, aggressive derivatives deleveraging and muted altcoin…
Regulators in Washington on Thursday cleared a major step that lets Americans trade spot Bitcoin…
Bitcoin is again trading under the shadow of a potential yen carry-trade shock as markets…