Dive into the monumental court victory where Grayscale overcame the SEC's denial concerning their Bitcoin ETF conversion.
Understand the implications and witness the ripple effect causing a massive boost in cryptocurrency market prices. Get the latest insights now!
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SEC's Rejection Overruled: Bitcoin ETF Conversion
Grayscale has recently been successful in its litigation against the U.S. Securities and Exchange Commission (SEC) regarding its Bitcoin ETF conversion.
Grayscale aimed to convert its Grayscale Bitcoin Trust (GBTC) to a "Bitcoin Spot ETF".
However, the SEC rejected their application. As a result, Grayscale argued that the SEC was "treating futures ETFs and spot ETFs with different arbitrary standards" and initiated litigation.
This lawsuit has garnered attention for some time, and on August 29, 2023, reports have indicated that "a U.S. appellate court judge has approved Grayscale's review request and ordered the SEC to invalidate their rejection."
The rationale for this decision was that the "SEC failed to provide a satisfactory explanation as to why they approved the listing of a Bitcoin futures ETP but declined the Bitcoin ETP proposed by Grayscale," leading to the verdict that there's a need to reconsider the application denial.
Price Spike in Major Cryptocurrencies including BTC
While the recent ruling does not guarantee the listing of a spot Bitcoin ETF, there's heightened anticipation in the cryptocurrency industry.
Many view it as a "significant step towards the inception of the first spot Bitcoin ETF in the U.S.".
Following the news, prices for many cryptocurrencies, including Bitcoin, have skyrocketed.