The U.S. Securities and Exchange Commission (SEC) is considering to approval the countries first bitcoin-based exchange-traded fund. The proposal for the ETF came from Cboe BZX Exchange Inc. and was pitched by management firm VanEck and crypto company SolidX.
As part of the reviewing process, the SEC wants more feedback from the public. Right now over 1400 comments have been posted and the commission is reviewing them all. The SEC already delayed their decision once in early August.
In the proposal from VanEck and SolidX a special bitcoin trust would be created. SolidX would list shares in this trust.
In August the SEC rejected nine bitcoin ETF proposals. Only shortly after it was decided that their decisions were to be reviewed. There’s currently no status update on these proposals or the reviews of the SEC decisions.
Now you might wonder why this ETF is such a big deal? Well, it would allow stock traders to make bitcoin part of their ETF package, which is basically a bundle of stocks the split risk and grow alongside the general market trend. There’s more about exchange traded funds here.