House lawmakers push SEC Chair Gensler to approve spot bitcoin ETF applications: CNBC Crypto World – CNBC Television
House lawmakers are urging Gary Gensler, the Chairman of the U.S. Securities and Exchange Commission (SEC), to approve applications for spot bitcoin exchange-traded funds (ETFs). This move comes as the demand for cryptocurrency ETFs continues to grow, with investors looking for more diversified ways to gain exposure to the digital asset class.
According to CNBC, House lawmakers sent a letter to Chairman Gensler, expressing their support for spot bitcoin ETFs and urging him to take action to approve these applications. The lawmakers argue that approving such ETFs would provide retail investors with a regulated and transparent way to invest in bitcoin, while also benefiting the overall market.
SEC Chairman Gensler has previously voiced concerns over the potential risks associated with bitcoin ETFs, citing concerns about market manipulation, investor protection, and cybersecurity. However, the lawmakers contend that these concerns can be addressed through robust regulatory oversight and proper risk disclosures.
In a separate report by Barron’s, Chairman Gensler acknowledged that the SEC is still actively considering bitcoin ETF applications. However, the government shutdown threat posed by a potential lack of funding for government agencies could potentially cause a delay in the SEC’s decision-making process.
This news comes shortly after the SEC extended the deadlines for reviewing applications for ARK 21Shares and VanEck spot Ether ETFs, as reported by Cointelegraph. While the SEC has not provided a specific timeline for approving or rejecting these applications, the extended review period suggests that the commission is carefully evaluating the potential risks and benefits associated with these ETFs.
The delays in approving bitcoin ETFs have not gone unnoticed by industry insiders. Mike Belshe, CEO of BitGo and a prominent figure in the cryptocurrency space, believes that politics may be behind the SEC’s hesitation. In an interview with Kitco NEWS, Belshe expressed his opinion that the SEC is being influenced by political factors rather than focusing solely on the merits of the applications.
Belshe suggests that the SEC’s reluctance to approve bitcoin ETFs is causing a missed opportunity for both investors and the industry as a whole. He believes that if approved, these ETFs would not only provide a regulated investment vehicle for retail investors but also help establish a more mature and transparent market for bitcoin.
It remains to be seen how long the SEC will take to make a final decision on these ETF applications. However, the growing support from House lawmakers and the increasing demand from investors indicate that the pressure is mounting for the commission to act and provide clearer guidelines for the cryptocurrency ETF market.
In conclusion, the push for spot bitcoin ETFs by House lawmakers highlights the growing interest in regulated cryptocurrency investment products. While the SEC is still considering these applications, concerns over market manipulation and investor protection continue to delay the approval process. However, industry insiders and lawmakers argue that approving these ETFs would provide investors with a regulated and transparent way to gain exposure to bitcoin while driving further innovation in the industry. The SEC’s decision on these applications will undoubtedly have a significant impact on the future of the cryptocurrency market.
