The head of the US Securities and Exchange Commission (SEC), Gary Gensler, has said in an interview that a “reassessment” of Bitcoin ETFs is underway. A possible approval of Bitcoin ETFs by the SEC has been a hot topic for months.
As head of the US Securities and Exchange Commission (SEC), Gary Gensler is actually an irritating figure for the crypto scene – but hopes are also pinned on Gensler when it comes to Bitcoin ETFs. After all, his authority has the final say on the approval of Bitcoin ETFs. Gensler has now spoken out in an interview with the television channel CNBC. They are “taking a new look”, said Gensler, which includes court decisions. Gensler is alluding to a ruling from the end of August in which the court was unable to understand the non-approval of Bitcoin ETFs.
When the SEC missed a deadline to appeal this ruling in mid-October, the crypto markets picked up speed, led by Bitcoin (BTC). With the introduction of Bitcoin ETFs in the US, market observers expect a significant inflow of capital from institutional investors. Pension funds, for example, could shift some of their investments towards BTC through Bitcoin ETFs in a regulated environment. Gensler said that between eight and twelve applications had been submitted to the SEC. He evaded specific questions about the timing of decisions.
It is known that the SEC has held intensive talks with applicants such as Greyscale and BlackRock in recent weeks. Optimists therefore expect the SEC to abandon its negative stance on Bitcoin ETFs. Based on deadlines for SEC decisions, Bloomberg expert James Seyffart predicts a 90% probability of a “green light” on January 10.
But Gensler would not be Gensler if he had not also used the TV interview to attack the crypto sector. Viewers should know, Gensler said, that a lot of securities laws are not being complied with in the crypto field. The SEC classifies more than 55 cryptocurrencies as securities, but excludes Bitcoin from this. Gensler recalled his agency’s mandate to protect citizens from fraud and misinformation when investing. The SEC has already enforced out-of-court settlements or judgments to protect investors in more than 150 cases in the crypto sector, Gensler said.
Conclusion: SEC and Gensler as Bitcoin oracles – interpret at your own risk
Gensler’s words on Bitcoin ETFs could also be hiding the fact that new legal avenues are to be found to delay or prevent approval. Investors should at least consider this option – because Gensler will certainly no longer be a crypto friend. Meanwhile, Bitcoin’s price curve did not react noticeably to Gensler’s TV interview, suggesting that US experts were also unable to draw a clear conclusion from it.
Leave a Reply