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 deadline for making a decision has been extended. However, the overall limit is still in place. “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.
It could also have tax implications as the assets are redeemed for in-kind instead of liquidating them.
Related: US regulator considers simplified path to market for crypto ETFs
SEC accused for dragging its feet
It is not the first time the SEC has given a deadline extension for decisions relating to cryptocurrency. This month, lawyers for digital assets manager Grayscale pushed back against the US SEC’s delay In approving Digital Large Cap ETF.
The SEC approved the product previously, but the Office of the Secretary of the SEC decided to review the matter shortly after and reversed the decision. Grayscale attorneys claim this is a violation. “statutory approval or disapproval deadline” It was in conflict with the 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 stated earlier this month that the regulator is now in place. sees tokenization as an “innovation” to be encouraged The marketplace. He also talked about how his new approach is different from that of his predecessor, pointing out the SEC previously inhibited innovation with 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
