It appears the United States Securities and Exchange Commission (SEC) is not ready to approve any Bitcoin ETF just yet. The financial watchdog has delayed its decision on the VanEck Bitcoin ETF.
According to a filing on Wednesday, the SEC is pushing the timeline for its decision to June 17, 2021. The extension comes as recently confirmed SEC head Gary Gensler begins to review applications.
Although the lineup of companies seeking to get a nod from the SEC is increasing, VanEck’s Bitcoin ETF is a first of its kind. The product seeks to give investors direct exposure to the asset. Meanwhile, other ETF products focus on giving investors Bitcoin exposure via stocks of related companies.
A section of the filing explained:
The Commission finds that it is 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 comments received.
Hopes are high that crypto-friendly Gensler will approve a Bitcoin ETF soon. His appointment as SEC Chairman by President Joe Biden in January was well received by the crypto community. Gensler is an MIT professor that has taught courses on blockchain and digital assets. One should expect that he knows how the sector works and should be more open-minded about the asset class.