Former US Securities and Exchange Commission (SEC) Chairman Jay Clayton has expressed confidence in the eventual approval of spot Bitcoin exchange-traded funds (ETFs). Clayton made this statement during a CNBC interview on September 1, emphasizing the growing support for such investment vehicles from major financial institutions. Spot Bitcoin ETFs represent a significant shift in how retail investors interact with cryptocurrencies.
The SEC recently announced extended deadlines for reviewing spot Bitcoin ETF applications from prominent firms, including BlackRock, WisdomTree, VanEck, Invesco Galaxy, Bitwise, Valkyrie, and Fidelity. These firms now face a 45-day window for the SEC to approve, deny , or further delay their ETF applications after the publication of a notice in the Federal Register. It is possible that the SEC might continue to extend the filing deadline until March 2024.
Jay Clayton expressed his hope to see progress in this area and underscored that approval of spot Bitcoin ETFs was "inevitable." He noted the contrast between futures products and spot products and suggested that this disparity cannot persist indefinitely. His stance echoes that of US Court of Appeals Circuit Judge Neomi Rao, who, along with two other judges, ordered the SEC to reconsider asset manager Grayscale's application to transform its Bitcoin Trust (GBTC) into a spot Bitcoin ETF. Judge Rao argued that the SEC had already approved a BTC futures ETF and viewed Grayscale's offering as "substantially similar."
The process of reviewing ETF applications has encountered delays leading up to the US Labor Day holiday weekend on August 31. The next significant deadline for the review of major spot Bitcoin ETF applications is October 7, when the SEC is expected to announce its decision regarding ing the offering by fund manager Global X.
