US Securities and Exchange Commission Delays Approval On Bitwise Spot Bitcoin ETF Listing. 5 Things To Know

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US Securities and Exchange Commission has sought certain explanations from Bitwise

The US Securities and Exchange Commission (SEC) said a few days ago that it had not yet decided whether or not to authorise Bitwise Asset Management to list a spot Bitcoin exchange-traded fund (ETF). The SEC also solicited public input on the fund's application. The regulator said it would start a process to decide whether to accept or reject Bitwise Bitcoin ETP Trust's application to list on the NYSE Arca market of Intercontinental Exchange Inc. The delay comes after several issuers, including Fidelity, SkyBridge, and Valkyrie were rejected spot Bitcoin ETFs by the SEC in recent months.

Here are 5 things to know about the delay:

1) The Securities and Exchange Commission has asked Bitwise to explain how it plans to prevent share manipulation, fraud, and other potential concerns in its planned spot Bitcoin ETF. It also wanted to know about predicted share trading volumes, liquidity, and transparency in the Bitcoin markets.

2) The SEC also expressed concerns about the Bitwise Bitcoin ETP Trust's liquidity and transparency and asked for more information on Bitcoin's suitability as the fund's underlying asset.

3) The SEC also sought opinions on various aspects of the Bitwise ETF application, including the estimated volume of the ETF and whether it may have a significant effect on Bitcoin futures trading on CME Group's market.

4) While the SEC rejected Bitcoin ETFs from numerous issuers, including Fidelity, SkyBridge, and VanEck, futures-backed products like the ProShares Bitcoin Strategy ETF and the VanEck Bitcoin Strategy ETF were approved. Since the SEC approved the first Bitcoin futures ETFs last year, there has been a sustained renewed interest