The U.S Securities and Exchange Commission (SEC) considers recent filings by investment managers inadequate, potentially delaying the introduction of Bitcoin Spot ETFs in the U.S.
According to The Wall Street Journal, the regulatory agency has informed Nasdaq and the Chicago Board Options Exchange (Cboe) that their filings are “insufficiently clear and comprehensive.” These exchanges represent asset managers in submitting financial products.
In the eyes of the SEC, the exchanges should explicitly state the name of the spot Bitcoin exchange with which they will have a “surveillance-sharing agreement” or provide detailed information about those surveillance agreements. However, asset managers may resubmit their filings after clarifying the information.
A series of filings have been submitted in recent weeks since BlackRock joined the list of companies seeking to launch the first Bitcoin ETF on Wall Street. BlackRock’s filing introduced a “surveillance-sharing agreement,” in which information about trading activities and settlement clearing in the market is shared among entities to prevent market manipulation.
Since 2017, Bitcoin ETFs have been denied by the SEC. However, in Canada, such financial products are already available. Three prominent funds, namely Purpose Bitcoin, 3iQ CoinShares, and CI Galaxy Bitcoin, directly invest in Bitcoin spot.