Members of the U.S. House Urge SEC Chairman Gensler for Swift Approval of Spot Bitcoin ETF
Mitchell Nixon
Two bipartisan representatives from the House Financial Services Committee jointly penned a letter to SEC Chair Gary Gensler, advocating for prompt action on ETFs.
Four U.S. Congressional Representatives are urging SEC Chair Gary Gensler to promptly grant approval for spot Bitcoin exchange-traded funds (ETFs).
In anticipation of Gensler’s upcoming appearance before the House Financial Services Committee, four members of the committee have sent a letter to Gensler arguing that spot Bitcoin ETFs are indistinguishable from crypto futures ETFs, which have already received SEC approval. They believe that the SEC should therefore approve applications from entities like Fidelity, BlackRock’s iShares, and Grayscale Investments, which is affiliated with CoinDesk’s parent company, Digital Currency Group.
The letter, signed by Representatives Mike Flood (R-Neb.), Tom Emmer (R-Minn.), Wiley Nickel (D-N.C.), and Ritchie Torres (D-N.Y.), asserts that the SEC’s current stance is unsustainable. They argue that, following a Court of Appeals decision, there is no rationale for denying these applications based on inconsistent and discriminatory standards.
“Following the Court of Appeals’ decision, there is no reason to continue to deny such applications under inconsistent and discriminatory standards.”
“A regulated spot bitcoin ETP would provide increased protection for investors by making access to bitcoin safer and more transparent,” stated the letter. “Congress has a duty to ensure the SEC approves investment products that meet the requirements set out by Congress.”
The request was made in anticipation of Gensler’s upcoming appearance before the House Financial Services Committee, where the SEC’s oversight will be discussed. All four legislators are members of this committee and may raise this issue during the hearing scheduled for September 27th. It’s worth noting that the proceedings are unlikely to be affected by the looming threat of a government shutdown, as lawmakers have not reached a spending agreement at the time of this statement.
As of now, the SEC has not granted approval for any spot Bitcoin ETFs. Many had anticipated that the SEC would reconsider pending ETF applications following its legal loss to Grayscale in August. However, the regulator subsequently postponed decisions on ETFs from seven major firms, including BlackRock, WisdomTree, Invesco Galaxy, Valkyrie, Bitwise, VanEck, and Fidelity.