Bitcoin ETF approval rumors; SEC and Issuers engage in ongoing talks

In the ongoing discussions between spot Bitcoin Exchange-traded fund (ETF) issuers and the Securities and Exchange Commission (SEC), both parties have acknowledged the challenges in approving multiple ETF applications. Recently, Bloomberg ETF expert James Seyffart posted on X (formerly Twitter) that the potential approval process for a spot Bitcoin ETF has involved vast conversations and numerous hours from both the issuers and the SEC.

SEC closely monitoring spot Bitcoin ETF applications

On the other hand, another Bloomberg ETF expert, Eric Balchunas, posted on X, stating that there won’t be any updated 19b-4s because the SEC has requested spot Bitcoin ETF issuers to send responses offline. This post suggests that the SEC is actively engaging with ETF issuers and closely monitoring their applications for spot Bitcoin ETF approval.

LATEST: Look for updated S-1 filings this week (which answer round two comments from SEC which I heard were exhaustive and poss final). But.. we won’t see updated 19b-4s bc SEC asked issuers to send back offline for now. Those prob be re-filed just bf approval date (see below) https://t.co/ZhtN86f0Q3

— Eric Balchunas (@EricBalchunas) December 4, 2023

According to a recent post by Eric, the latest S-1 filings from this week should address the second round of comments from the SEC, which are rumored to be thorough and possibly final.

BlackRock and Bitwise filed S-1 (prospectus) amendment

However, on December 5, 2023, the largest asset management firm, BlackRock, filed another spot Bitcoin ETF S-1 (prospective) amendment. Additionally, the SEC has given similar instructions to multiple issuers, according to James’s recent post. Alongside BlackRock, another asset management firm, Bitwise, also filed its second S-1 (prospectus) amendment for its spot Bitcoin ETF.

UPDATE: Second S-1 (prospectus) amendment from @BitwiseInvest for their spot #Bitcoin ETF. Conversations still happening with SEC and potential issuers. This is confirmation of what @EricBalchunas tweeted about earlier today. h/t @FulcrumNews_ & @btcNLNico pic.twitter.com/99dxDDEvFR

— James Seyffart (@JSeyff) December 4, 2023

It has been confirmed that ongoing discussions between spot Bitcoin ETF issuers and the SEC are still taking place for the ETF approval. However, Eric recently posted on X, indicating that while they did seed the ETF as anticipated, the amount was relatively small, only $100,000, in response to James.

Moreover, the crypto community is eagerly awaiting the final result, expected to be between January 5, 2024, and January 10, 2024. Several crypto enthusiasts have commented on the ETF expert’s post, speculating that the SEC will not approve any Bitcoin ETFs. Instead, they predict a delay followed by denial due to concerns about Tether counterfeiting USD to artificially boost the Bitcoin price.