The United States Securities and Exchange Commission, or SEC, has extended its ruling deadline on two crypto-exchange-traded fund (ETF) redemptions.
A Wednesday SEC filingThe regulator is taking more time before deciding whether Bitwise Bitcoin can be redeemed in kind on NYSE Arca.BTCEtherETHSpot ETFs. The decision deadline was extended but the limit remains. “45 days, extendable to no more than 90.”
“The Commission finds it appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change, and the issues raised therein,” Read the following announcement.
Investors can redeem their ETFs directly for Bitcoin or Ether, the assets that they are based on.
Tax implications could arise, since assets will be liquidated in kind rather than cash.
Related: US regulator considers simplified path to market for crypto ETFs
SEC accused for dragging its feet
The SEC has extended deadlines before for crypto-related decisions. Attorneys for digital asset managers notified the SEC earlier this month that they would be extending their deadline. Grayscale pushed back against the US SEC’s delay Digital Large Cap Fund.
The SEC previously approved the item, but the Office of the Secretary of the SEC subsequently decided to review the approval and stop the decision. Grayscale’s lawyers claim that this was a violation of the “statutory approval or disapproval deadline” And it was against established procedures.
Related: First US staking ETF to launch Wednesday, giving investors exposure to Solana
SEC adopts new cryptography approach
Most people agree that the Trump Administration has been in power since Washington, and SEC Chair Paul Atkins assumed the position Gary Gensler’s position on crypto is no longer the same.
Atkins claimed earlier in the month that regulators now have a new approach. sees tokenization as an “innovation” to be encouraged In the marketplace. He also pointed out how different his approach is from that of his predecessor, noting the SEC previously had hindered innovations through vague laws. “regulation through enforcement,” Add the following before:
“That day is over.”
Atkins stated that his goals when it came to crypto regulations were regulatory transparency, and creating a foundation which allows for new innovations and products.
Magazine: SEC’s U-turn on crypto leaves key questions unanswered
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Source: cointelegraph.com
