Earlier this week, we reported that asset managers, VanEck, SolidX withdrew their application with the United States Securities and Exchange Commission (SEC) to list a bitcoin exchange-traded fund on the CBOE. The withdrawal purportedly draws on the knowledge that the regulator is likely not to approve the proposal with the October deadline approaching and 2019 almost over.
However, Bitwise Asset Management, another firm that the SEC will soon rule on their Bitcoin ETF proposal (October 13) is not giving up on the move according to a new report by TheBlock.
Bitwise submitted their proposal for a rule change to list a Bitcoin ETF on NYSE Arca in January and since then met a series of delays on decision making from the regulator, albeit not for their lack of trying.
Bitwise had compiled multiple presentations to convince the SEC that the market for Bitcoin was ripe enough for an exchange-traded fund tracking the asset and submitted yet another presentation following a meeting earlier this week.
In the latest study presented to SEC Commissioners – Hester Peirce, Robert Jackson Jr., and Elad Roisman, Bitwise sought to prove that the bitcoin spot market has materially improved in the last two years, while the custody space has become “fully institutional.”
The information presented by Bitwise addressed the two primary concerns that SEC Chairman Jay Clayton labeled as the reasons why they are yet to approve a Bitcoin ETF.
On the issue of manipulation, Bitwise presented data showing that the average deviation in bitcoin prices on the top ten real spot exchanges for bitcoin has dropped significantly since the 2017 bull market.
The startup further argued that the regulated market for bitcoin futures has become significant since CME Group alone reported a $235 million traded volume in August 2019, and several institutional-grade custodians have emerged in over the last few years.
Meanwhile, whether the SEC pays attention to the facts presented by Bitwise or not, the firm’s COO, Teddy Fusaro confirmed to TheBlock that the final ruling in October would not dampen their desire to provide the questions posed by the regulator regarding the viability of a Bitcoin ETF.