Grayscale Investments CEO Michael Sonnenshein believes that market participants’ negotiations with the U.S. Securities and Exchange Commission (SEC) about launching a spot Bitcoin (BTC) ETF in the United States are proceeding according to an optimistic scenario.
The CEO shared this opinion with Yahoo Finance reporters and noted that SEC commissioners are working to clarify details on applications from market participants to launch a spot Bitcoin ETF.
Such actions of the Commission, in his Sonnenshein’s opinion, indicate the regulator’s interest in resolving issues related to the possible launch of the instrument in the United States.
“We won against the SEC, vacated that denial order of GBTC to uplist as a spot Bitcoin ETF. I think since that time, the macro environment, because bitcoin means different things to different folks, you have seen some investors flocking to bitcoin, flocking to gold, in a rising rate environment as an inflation hedge for their portfolios.”
Michael Sonnenshein, Grayscale Investments CEO
In October, the U.S. Court of Appeals formally approved a decision requiring the SEC to reconsider Grayscale Investments’ application to convert GBTC into a spot ETF based on the first cryptocurrency. The new document repeats the decision of the appellate court. According to the ruling, the management company proved that the proposed spot ETF is similar to already approved Bitcoin futures exchange-traded funds.
In June, the asset manager sued the regulator for refusing to convert their flagship trust. The company sent the corresponding application back in October 2021.