U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler has discussed the SEC’s changing stance on spot Bitcoin exchange-traded fund (ETF) applications, acknowledging the impact of recent legal decisions.
During a recent CNBC interview, Gensler provided insights into the SEC’s evolving approach, citing court rulings that have prompted the regulatory body to reconsider its previous rejections of these applications. He stated, “I think it’s between eight and a dozen filings. I’m chair of a commission. I’m not to prejudge anything. So, that’s going through the process right now.”
“As you might know, we had in the past denied a number of these applications, but the courts here in the District of Columbia weighed in on that,” said Gensler. “And so we’re taking a new look at this based upon those court rulings.”
When Gensler was asked about potential objections to the court rulings, he clarified, “We do everything at the Securities and Exchange Commission within the laws Congress has passed and how the courts interpret them. But I would say this about the crypto field. This is a field that your viewers should be aware that there’s a lot of noncompliance.”
SEC’s Meets With Bitcoin ETF Issuers, Postponing Applications
In recent weeks, the SEC has engaged in meetings with prominent spot Bitcoin ETF issuers such as BlackRock, Fidelity, Grayscale, and Franklin. Bloomberg Intelligence ETF analyst James Seyffart suggests that the frequency of these discussions signals increased optimism for approval in the near future.
Meanwhile, the SEC has once again postponed its decision on spot Ethereum ETF applications, submitted by Invesco and Galaxy Digital. Seyffart speculates that the SEC might be contemplating simultaneous approvals for multiple applications to ensure fairness and competitiveness among the various applicants.
Bitcoin and Crypto to Thrive Even With Bitcoin ETF Rejected: Matrixport
According to the latest report from Matrixport, a crypto financial services platform, Bitcoin and the broader crypto market are anticipated to thrive in 2024, even if the SEC rejects Bitcoin ETFs.
The report states, “We will likely see higher crypto prices in 2024. Crypto investors should monitor the Bitcoin dominance chart daily as a declining indicator could signal that an Altcoin rally is imminent.”
Furthermore, the report suggests that the potential return of former U.S. President Donald Trump could have a positive impact on the crypto market. It notes, “2024 is also an election year, and the likelihood that former President Donald Trump will be elected again is high. His policies could boost the US economy and, with it, US stock prices and cryptocurrencies.”
