Bitcoin Tumbles on Report of SEC Saying Spot BTC ETF Filings Inadequate
Spot bitcoin ETF applications from BlackRock and Fidelity, among others, had helped drive bitcoin higher over the past two weeks.
The U.S. Securities and Exchange Commission (ETF) said recent filings to launch a spot bitcoin ETF are inadequate, Friday morning, citing sources close to the matter.
The news sent the price of bitcoin () plunging by $1,000, or more than 3%, in the space of a few minutes. At press time, bitcoin was trading just above $30,000.
According to the story, the SEC has informed Nasdaq and CBOE – the exchanges that filed the spot ETF paperwork for several of the asset managers, including BlackRock (BLK) and Fidelity – that the applications aren’t sufficiently clear and comprehensive.
At issue, the story continued, is that the filings didn't have enough detail with respect to the “surveillance-sharing agreements," including which spot bitcoin exchange would be used. The asset managers can update their applications and refile, and the CBOE indicated to the WSJ and to CoinDesk that it plans to do so.
The SEC said in that the sponsor of a bitcoin trust would have to enter a surveillance-sharing agreement with a regulated market of significant size.
A market of significant size is one where anyone trying to manipulate the price of an exchange-traded product has to trade on the same market the exchange-traded product (ETP) is based on, meaning the agreement would let the sponsor and the trading platform identify any wannabe market manipulators.
At present, no federal regulator has oversight of spot bitcoin markets, a state of affairs the Commodity Futures Trading Commission has lobbied to change for years.
"We would decline to comment on the possibility of individual filings," an SEC spokesperson told CoinDesk.
BlackRock's spot ETF filing in mid-June for a strong run higher in the price of bitcoin since, sending the crypto from below $26,000 to one-year highs above $31,000. The BlackRock application also set off a host of filings from several other asset managers, including fellow asset management giants Invesco (IVZ) and Fidelity, both of which refiled for approval of their previously rejected spot bitcoin ETFs.
BlackRock, Fidelity, and Galaxy (who filed in conjunction with Invesco) spokespeople all declined to comment to CoinDesk.
Updated (15:02 UTC, June 30, 2023): Adds additional context.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
The Importance of Industrial Properties in Markets Ready for Immediate Development
- Public infrastructure grants like FAST NY are transforming industrial hubs by upgrading shovel-ready brownfields, exemplified by Webster , NY's $9.8M Xerox site redevelopment. - Corporate divestitures align with public investments, as seen in Xerox's campus sale enabling a $650M dairy facility that leverages upgraded infrastructure for 250 jobs. - Public-private partnerships reduce development risks through pre-remediated sites and multimodal connectivity, attracting high-capital industries like clean te
Bitcoin News Today: Defying Intuition: Crypto Traders Adopt Buy-When-Fearful, Sell-When-Greedy Approach
- Binance's CZ advocates contrarian Bitcoin strategy: sell during greed, buy during fear, challenging emotional trading instincts. - Market data shows Bitcoin hovering near $90,644 amid extreme Fear and Greed Index swings (current 20), reflecting prolonged investor anxiety. - Historical patterns indicate extended fear phases often precede market bottoms, as seen in March 2025's $76,000 Bitcoin low. - Strategy emphasizes discipline in volatile crypto markets, where leverage amplifies sentiment-driven swings
Bitcoin Updates: PENGU Holds at $0.03—Liquidity Struggles to Prevent a Downturn
- Pudgy Penguins' PENGU token tests $0.03 support amid 46.83% monthly price drop, risking cascading liquidations. - 78.8B open interest highlights liquidity risks as 70.72% circulating supply faces whale influence and reserve dilution threats. - Institutional Cboe ETF proposal temporarily stabilizes PENGU, but Bitcoin's 29% post-peak decline and Solana's rally expose its speculative fragility. - Growing DeFi integration contrasts with PENGU's lack of fundamental utility, making it vulnerable to crypto wint
Stablecoins Recognized by Regulators and Institutions as the Core Link in Crypto
- Stablecoins are increasingly serving as a secure bridge between traditional finance and decentralized systems, supported by institutional adoption and regulatory frameworks like the EU’s MiCA. - Binance’s record $51.1 billion stablecoin reserves highlight their role as a liquidity hub amid market corrections, with traders prioritizing safety over speculation. - Deutsche Börse integrates euro-pegged stablecoins (e.g., EURAU) to expand digital asset offerings, aligning with MiCA’s goals for cross-border ef
Trending news
MoreCrypto prices
More
