SEC opposes ARK 21Shares spot BTC ETF application
The U.S Securities and Exchange Commission has officially opposed the application for the ARK 21Shares Bitcoin exchange-traded fund. The SEC opposed a proposed law modification from the Chicago Board Options Exchange, BZX Exchange to list and exchange shares of the ARK 21Shares Bitcoin ETF. The SEC said the proposed law transition, which was originally published for a remark in the Federal Register in August 2021, would not be formulated to curb deceitful and manipulative rules and practices nor safeguard investors and the civil interest.
The SEC said that the Chicago Board Options Exchange or Cboe BZX Exchange had not fulfilled the provisions of listing an economic product under its laws of practice as well as those of the Exchange Act. Under these limitations, trades pursuing to list a Bitcoin ETF need to have a detailed surveillance-sharing treaty with a regulated market of substantial quantity associated with the reference Bitcoin assets. 21Shares is a Europe-based exchange-traded commodity issuer, that provided the spot Bitcoin ETF application with Ark Investment Management for documenting on the Cboe BZX Exchange under the clock ARKB.
Till today, the SEC has not authorized any spot crypto ETF application for recording shares in the U.S but has provided a nod to investment automobiles associated with BTC fortunes. As of October of last year, 21Shares was one of the biggest institutional crypto commodity issuers, with more than $2B in assets under administration noted. Grayscale is one of the second asset managers inclined to listen to a ruling from the regulatory body on its spot Bitcoin ETF.
Grayscale undertook a campaign last month aimed at motivating U.S. investors to submit remarks to the SEC. The regulator is anticipated to reach a point of decision on Grayscale converting its Bitcoin Trust into a spot BTC ETF by 6th July.
Have a look at this- Cboe BZX Exchange Filed 19b-4 Form Showing Support for BTC ETF Applications