All eyes are set on August 10, 2018 as the fate of the most promising Bitcoin Exchange-Traded Fund is set to find out its destiny as the SEC comes together and will determine what its stance is regarding what would be the first ever crypto-related ETF approval.
Winklevoss Bitcoin ETF Appeal Was Denied, But What Does It Mean for Other Upcoming ETF Submissions?
The SEC has been filtering through ETF applications for cryptocurrency, but some of their initial considerations have been disappointing, to say the least. The application submitted by Winklevoss made a major impact on the rest of the industry, with Bitcoin dipping below $8,000. This rejection stimulated major conversations in the cryptocurrency world, especially concerning how it will impact the other submissions setup.
One group that is especially concerned is the Chicago Board Options Exchange (CBOE), since they have a fairly solid case to have their request approved. There have been some sources that have been discussing what this means for the future of institutional space.
According to one source who is supposedly close to the heart of the matter, they had thisto say:
“The Winklevoss denial is irrelevant here. Those that realized that quickly are the voices you should listen to here. Our submission (based on the VanEck SolidX product) is equally backed by the principles needed to expect an approval, but also carries the heft of a regulatory agency that is part private sector and part pseudo-governmental agency. While we are a public company via capitalization, we are still closely tied to regulatory bodies given the need for public trust, etc., etc. That is where the SEC will focus its approval or disapproval chops. We still believe that approval of our Bitcoin ETF product is a near certainty. Just a question of timing and potential administrative delays.”
One of the sources at the SEC have expressed the high likelihood of the CBOE product being approved, saying,
“The hybrid exchange/regulatory elements there make a world of difference. The SEC will have an internal interest in dealing equitably with the CBOE. Believe me when I say that. The Gemini decision was expected from those in the know and could have easily been predicted. Again, this stuff is more about timing than anything else. Approvals will come, it is more a matter of Q4 2018 or Q1 2019. And as I said before, that will open up the door to more crypto-based product submissions.”
Both of these sources basically indicate that the decision on Winklevoss will not be an indication of how the SEC will treat any of the other submissions right now.