GBTC Requires Spot ETF Approval, Citing SEC Previous Futures Greenlight

• Grayscale requires approval of spot Bitcoin ETFs within the U.S.
• Its authorized workforce submitted a remark letter supporting the case to transform GBTC to identify ETF.
• The agency emphasised the interconnectedness of Bitcoin spot and futures markets.

In a latest tweet, Grayscale Investments, a distinguished digital asset administration agency, made a compelling case for approving spot Bitcoin exchange-traded funds (ETFs) in the US.

The agency known as explicitly for the approval of spot ETFs in gentle of the Securities and Alternate Fee (SEC)’s earlier Bitcoin futures ETF clearance. Grayscale argued that prior approvals of futures ETFs recommend the regulator is well-positioned to greenlight spot Bitcoin ETFs.

In the meantime, based on the corporate’s Chief Authorized Officer, Craig Salm, the authorized workforce has taken proactive measures whereas awaiting a court docket resolution concerning its lawsuit to transform GBTC to a spot bitcoin ETF.

To strengthen their case, Grayscale’s authorized workforce submitted a remark letter together with seven different spot bitcoin ETF filings that embody newly-proposed surveillance sharing agreements (SSAs). Grayscale believes American buyers ought to have entry to identify bitcoin ETFs, emphasizing a number of important factors in its remark letter.

The growing momentum round spot bitcoin ETF filings is seen as a optimistic signal by Grayscale, because it demonstrates the continued maturity of the Bitcoin spot market.

Moreover, Grayscale contended that spot and futures markets of Bitcoin are interconnected, as evidenced by third-party research exhibiting a 99% correlation. In line with Grayscale, surveillance within the CME Bitcoin futures market, regulated by the CFTC and a member of the Intermarket Surveillance Group, must be enough to safeguard in opposition to potential fraud or manipulation within the underlying spot bitcoin market.

Grayscale clarified that whereas the inclusion of an SSA with a spot Bitcoin market will not be a definitive resolution, they’re supportive of any efforts that allow buyers to entry the crypto ecosystem and improve oversight in centralized crypto markets.