The Securities and Exchange Commission (SEC) just launched a public comment phase on spot Bitcoin exchange-traded fund (ETF) applications from investment giants Franklin Templeton and Hashdex, as per a filing on Nov. 28.
Typically, the SEC holds 240 days to greenlight or reject an ETF filing and gives updates at set intervals. Surprisingly, they opened the comment period earlier than expected, possibly hinting at a quicker timeline for the coveted “spotcoin” ETF approval.
Bloomberg analyst James Seyffart, discussing on the social media platform X (formerly Twitter), suggested that the SEC’s move to initiate a comment period for Hashdex aims to align all applicants for potential approval by the Jan. 10, 2024 deadline.
Franklin Templeton, holding around $1.5 trillion in assets, initially applied for a spot Bitcoin ETF in October. Their filing encountered a previous delay on Nov. 15. Recently, on Nov. 29, they updated their prospectus, addressing the SEC’s inquiries and concerns.
Despite historical denials or delays by the SEC, asset managers persisted in pushing for spot Bitcoin ETFs, citing concerns about market manipulation and investor protection. Following the SEC’s loss in a significant lawsuit against Grayscale Investments in August, the agency began collaborating closely with multiple firms to explore bringing these funds to the market.
There’s a belief among many hopeful firms, including ARK Invest led by Cathie Wood, that the SEC might approve several applications simultaneously to prevent granting any one company an initial competitive edge.
