- U.S. court has ratified ruling stopping SEC from rejecting Grayscale spot Bitcoin ETF.
- The potential for the first spot in the Bitcoin ETF has generated market optimism.
The conversion of the $17 billion Grayscale Bitcoin Trust (GBTC) into a spot ETF is back on the SEC’s table. This comes after the D.C. Circuit Court of Appeals made a final case ruling on Monday. The verdict effectively orders the SEC to abandon its earlier rejection of Grayscale’s spot ETF filing.
The closure of books on Monday ratifies an earlier court’s decision that found SEC to have erred in its decision to reject Grayscale’s spot ETF. The U.S. regulator opted against appealing the ruling, paving the way for the formal closure on Monday.
Grayscale’s spokeswoman, Jenniffer Rosenthal, commented after the Monday ruling.
“The Grayscale team looks forward to continuing to work constructively with the SEC to convert GBTC to an ETF.”
She added that Grayscale is operationally ready and seeks to proceed on behalf of its investors as soon as possible. The ruling means the SEC will decide whether to approve the Grayscale spot ETF or decline it on other grounds.
Spot ETF Approvals Boost Market Sentiment
Excitement grew in the cryptocurrency market as analysts project spot Bitcoin approvals after the final court ruling. SEC has other spot ETF filings from leading asset managers such as BlackRock and Fidelity. A potential approval of GBTC conversion is expected to greenlight other filings.
Meanwhile, investors are upbeat on the price of Bitcoin amid the expectation of the first spot ETF. The cryptocurrency surged past the $30,000 mark to the highest trading level in nearly four months. Investors anticipate the SEC could approve the first spot Bitcoin ETF by the end of the year or early 2024.
