The US Securities and Exchange Commission (SEC) has postponed its decision on whether to list shares of ARK 21Shares’ Bitcoin exchange-traded fund (ETF) on the Chicago Board Options Exchange BZX Exchange.
In an announcement on Nov. 15, the SEC stated that it needed more time to consider the application for the ARK 21Shares Bitcoin ETF, originally submitted on May 13. This is the third time the SEC has extended the deadline for approving or denying the crypto investment vehicle, with previous extensions in July and August.
The SEC’s assistant secretary, Sherry Haywood, explained that the Commission required additional time to thoroughly review the proposed rule change and related issues. The new deadline for the decision is set for January 27, 2023.
ARK Invest had initially joined forces with Europe-based ETF issuer 21Shares to seek approval for a spot Bitcoin ETF on the Cboe BZX Exchange in 2021. However, the SEC rejected the application in April. Following the latest extension on Nov. 15, the SEC has reached the limit for further delays under its current guidelines.
While the SEC has not yet approved a spot crypto ETF in the US, it permitted investment products tied to BTC futures, such as the ProShares fund launched in October 2021. After facing rejection, digital asset manager Grayscale took legal action against the SEC, alleging discriminatory practices in refusing to approve a BTC ETF. Other companies like VanEck have also continued to apply for approval of a crypto spot investment vehicle with the SEC.
Image Source: Mc_Cloud / Shutterstock
