SEC Rejects Application for WisdomTree's Bitcoin Spot ETF – Bits Media

The US Securities and Exchange Commission did not approve the launch of an exchange-traded fund (ETF) of Bitcoin by WisdomTree. The regulator has already postponed its decision several times this year..

According to
statement, The US Securities and Exchange Commission rejected the change in rules of the Cboe BZX exchange for listing and trading shares of the WisdomTree cryptocurrency fund. In particular, SEC reported, that any change to the rules for ETF approval would not be “aimed at preventing fraudulent, manipulative actions and to protect investors and public interests".

The US Securities and Exchange Commission concluded, that the BZX platform has not met the requirements for listing a financial product in accordance with the rules stating, that the proposed Bitcoin ETF will not allow the SEC to obtain information, necessary for detection, investigation and prevention of fraudulent schemes, violations of exchange regulations and federal securities laws.

According to the Commission, BZX did not provide enough data, to conclude that, that the cryptocurrency market is resistant to manipulation. BZX used examples of cryptocurrency futures products on CME Group as an argument, but the SEC removed them.

“The commission cannot conclude, based only on BZX statements. In the absence of any evidence to support BZX it is unlikely, that ETP trading will have a dominant impact on prices in the Bitcoin futures market.", - said in the statement.

From the date of initial filing with the Securities and Exchange Commission 26 Martha, the decision was postponed several times. Reason refused WisdomTree analogous he, what was named for the VanEck ETF in November.