The United States Securities and Exchange Commission (SEC) is in the latest cryptocurrency news for delaying the decision on the VanEck Bitcoin exchange-traded fund (ETF) proposal. The fact that SEC postpones VanEck and its application again has raised many eyebrows in the industry – especially after it was officially published in a filing on May 20.
In addition to this, the SEC has added a 35 day period to gather more information and opinions on this proposal which was first filed by the Chicago Board Options Exchange. The news that SEC postpones VanEck has been picked up by many best cryptocurrency news sites.
As a reminder, in January CBOE withdrew its request to change the rules when the US government shutdown decreased the operational abilities of SEC – but then reapplied on January 31 after the government shutdown was resolved.
Today’s filing shows that SEC postpones VanEck and lists 14 questions open to the public about the proposal – with a main intent of using the answers and arguments that were provided to help them reach a verdict. These questions specifically pertained to protecting investors and public interest from fraud and several similar exploitations. The report showing how SEC postpones VanEck noted:
“The Commission is instituting proceedings to allow for additional analysis of the proposed rule change’s consistency with Section 6(b)(5) of the Act, which requires, among other things, that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade,’ and ‘to protect investors and the public interest.’”
Previously, he VanEck application was delayed by the SEC, preventing Bitcoin ETFs to be traded on CBOE. The exchange initially filed for the proposed SEC rule change on February 15 with a 45 day period that was assigned for approval or disapproval.
Since the first filing and this news that SEC postpones VanEck’s application again, the decision has been postponed twice. For those of you unfamiliar with ETF, exchange-traded funds are securities that are valued as a percentage of the associated asset which makes them very similar to traditional stocks. As such, they are the topic of many Bitcoin and altcoin news sites and are seen as a step towards mass adoption of cryptocurrencies and a sign for crypto maturation.
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