SEC Asks for Comments from BlackRock and Other Bitcoin ETF Applicants; Bloomberg Expert James Seyffart Remains Bullish on January 10th Approval

• The SEC’s request for additional comments on Bitcoin ETF applicants, including BlackRock, is a standard procedural step and does not necessarily indicate a delay.
• Bloomberg expert James Seyffart maintains a bullish outlook for approval by January 10th.

In a recent development, the United States Securities and Exchange Commission (SEC) has issued additional comments on the pending S-1a applications of various Bitcoin ETF applicants. While this could be misconstrued as a sign of delay, the crypto community remains optimistic.

The additional comments from the SEC are part of the normal regulatory process, often necessitated by ongoing amendments, such as fee structures. Addressing this, Bloomberg expert James Seyffart affirmed in a tweet that the SEC’s request for further comments is routine and not necessarily indicative of a delay. Despite of further amendments are to be expected.

1. This is true, comments came back on those S-1 documents with the fees that we all went crazy over this morning (this isn't out of ordinary)
2. Expect to see more amendments tomorrow because of this
3. That said — I don't think this is necessarily a delay signal https://t.co/o2m0lIBSct

— James Seyffart (@JSeyff) January 9, 2024

Contrasting this view, Fox Business Journalist Eleanor Terrett suggests, based on her recent tweet, that the SEC’s 5-member commission could potentially delay the approval of a Bitcoin Spot ETF. Terrett points out that each commissioner has the right to request a full commission vote on the ETF, which could prolong the process, even if approval had been granted through delegated authority.

An interesting caveat here on how the 5-member SEC Commission could potentially delay a $BTC Spot ETF approval.

While there’s no scheduled commission vote on the ETF, each commissioner apparently has the right to request a review and full commission vote (under the clause cited… https://t.co/W3pnOPXe2b

— Eleanor Terrett (@EleanorTerrett) January 8, 2024

Despite these differing perspectives, the SEC faces a deadline of January 10, 2024, to make a decision on these applications. The applicants, including major players like BlackRock, have maintained a composed stance amidst these developments.

Furthermore, as CNF previously reported, the Bitcoin community, particularly those managing billion-dollar portfolios, has been actively developing strategies to engage in the market independent of the conventional SEC approval for ETFs.

This approach includes exploring alternative investment vehicles and leveraging international markets with different regulatory frameworks, thereby mitigating the reliance on the SEC’s approval process for ETFs. Such strategies demonstrate the adaptability and resilience of the Bitcoin market, even amidst regulatory uncertainties.

Even in the event of a delay, experts believe that it would not adversely impact the BTC price. Rather, it might act as a catalyst, potentially triggering a ‘fear of missing out’ (FOMO) phenomenon and driving the BTC price higher. Amidst these developments, the Bitcoin market has seen a surge, with its price exceeding $47,000, signaling a positive sentiment in the overall market.