Bitcoin ETF applicants and the SEC have joint calls to discuss a cash generation methodology.
According to recent reports, the U.S. Securities and Exchange Commission (SEC) is allegedly in talks with many applicants who are requesting clearance for spot Bitcoin ETFs. Charles Gasparino, a business reporter for FOX News, broke the news that the SEC is meeting with potential Bitcoin ETF applicants for an unusual joint conference call.
The SEC reportedly informs applicants during the conference call that a cash generation concept is crucial. According to FOX News anchor Eleanor Terret, the applicants were told by the SEC to remove any mention of in-kind redemptions from their documents. A firm commitment to a cash-centric strategy is the goal of this strategic shift.
Professionals in the field are keeping a careful eye on these events, with some even going so far as to say that the joint conference call may be an indication that the SEC is about to make a judgment on applications for spot Bitcoin ETFs. According to sources and insiders in the sector, regulatory approval for a Bitcoin ETF is expected by January 10, 2024, making this date crucial.
Sources connected to many companies have told FOX Business that an ETF clearance is expected by January 10th, which is in line with their predictions. The public is aware of a deadline associated with an Ark Invest application; thus, this makes sense. A possible approval is being discussed and updated by the SEC with several applicants, including industry behemoth BlackRock, which is adding to the rising confidence.
Meanwhile, Grayscale is now subject to a court judgment that mandates an examination—but not necessarily approval—of their ETF application by the SEC. The market has become even more optimistic as a result of this verdict, which may indicate a change in the SEC’s stance.
Regardless of these encouraging signs, it is crucial to remember that the SEC has not yet authorized any Bitcoin spot ETF. Although most people are hoping for approvals, the regulatory body may still turn down any application they choose, and anything can happen in January.
Finally, the crypto world is becoming quite excited because of the impending deadline of January 10th and the SEC’s joint conference call with Bitcoin ETF applicants. Industry players continue to manage the ever-changing crypto regulatory environment while keeping an eye on formal statements from the SEC.
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