The Securities and Exchange Commission (SEC) of the United States has postponed the decision on NYDIG’s bitcoin ETF by 60 days.
The initial deadline for applications was January 15. If the ETF is approved for trading, it will be the first direct bitcoin ETF offered in the United States of America.
By the 16th of March this year, the SEC will determine whether or not to accept the NYDIG plan. The agency claimed that it required additional time to think about the matter in depth to have “enough time to review the proposed rule change and any comments that may have been submitted.”
NYDIG is a Stone Ridge Holdings Group subsidiary, an asset management organisation. It has filed for approval of an exchange-traded fund, the NYDIG Bitcoin ETF, letting investors purchase and sell equities that follow the price of the world’s biggest cryptocurrency. This would lead to increased adoption, and many individuals who were previously fearful of technical aspects of BTC may subsequently readily get exposure to it.
The SEC has frequently denied applications for direct products, even after authorising many bitcoin futures ETFs. He raised concerns regarding price manipulation in the bitcoin industry, and the Commission rejected similar proposals from Valkyrie and Kryptoin just before Christmas in 2021.
At the same time, after repeatedly delaying its decision last year, the SEC also turned down WisdomTree’s plan.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.