- The SEC has delayed decisions on spot Bitcoin ETF proposals from Franklin Templeton and Global X, which was expected given the SEC’s historical skepticism of Bitcoin ETFs.
- Franklin Templeton filed to launch a spot Bitcoin ETF called “BITE” on NYSE Arca last July, while Global X filed for an ETF called “BITC” on Cboe BZX Exchange last February, but the SEC has pushed back decisions on approving both to April and May respectively.
- The delays haven’t impacted Bitcoin’s price as many investors already anticipated the SEC rejecting or delaying Bitcoin ETFs in the near term due to concerns around manipulation and illicit activities.
Franklin Templeton ETF Delayed
The SEC has delayed making a decision on Franklin Templeton’s spot Bitcoin ETF until April. The asset manager had filed with the SEC to launch a spot Bitcoin ETF in partnership with Eaglebrook Advisors last July.
The proposed ETF would have listed on the NYSE Arca exchange under the symbol “BITE.”
Global X ETF Delayed
The SEC has also delayed making a decision on another spot Bitcoin ETF proposal from Global X until May. Global X filed for a spot Bitcoin ETF called the “Global X Bitcoin Trust” last February.
The proposed ETF would have listed on the Cboe BZX Exchange under the symbol “BITC”.
The delays were expected by most Bitcoin analysts and observers. The SEC has consistently delayed or rejected Bitcoin ETF proposals in the past, citing concerns around manipulation and illicit activities.
No Price Impact
The ETF delays haven’t had any noticeable impact on Bitcoin’s price so far. Bitcoin has been trading sideways in recent weeks after a strong start to the year.
Many investors believe the approval of a spot Bitcoin ETF in the U.S. would be a huge catalyst for increased adoption and influx of institutional capital. But the repeated delays and rejections have tempered expectations about the prospects in the near term.
While unfortunate, the delays of the Franklin Templeton and Global X Bitcoin ETFs were widely anticipated given the SEC’s historical stance. For now, Bitcoin’s price seems unfazed as investors take the news in stride. The focus shifts to new product launches from Fidelity and others as potential on-ramps for institutional participation. But the holy grail of a U.S. spot Bitcoin ETF continues to remain elusive.