Global X’s Bitcoin ETF Decision Delayed by SEC, New Deadline Set – Here’s What You Need to Know
The U.S. Securities and Exchange Commission (SEC) has delayed its decision on the Global X Bitcoin exchange traded fund (ETF). The SEC has extended the deadline for its decision by 45 days, from April 17th to May 21st. This latest delay gives the SEC more time to review the ETF and its proposals.
The proposed ETF, which is backed by funds belonging to NYSE Arca, Inc. and Global X Funds, is the latest ETF to be proposed in the space and the first one to be associated with a major exchange. If approved, the fund would allow investors to track the performance of Bitcoin.
The SEC’s delay has raised some concerns and questions, especially among investors. The main question on everybody’s mind is whether the ETF will be approved. Some industry experts are optimistic about the possibility of the SEC approving the ETF, while others are less so. The SEC has already delayed a number of ETFs in the past, so its decision on the Global X Bitcoin ETF will be an important one.
The SEC has also added a 45-day comment period, so interested parties have an opportunity to voice their opinion on the proposal. This comment period is set to end on May 3rd. The comment period offers a chance for investors and industry experts to provide their feedback on the ETF, as well as the SEC’s evaluation of it.
Regardless of the outcome of the SEC’s decision, the ETF space is expected to heat up in 2021. It is becoming increasingly evident that the SEC is becoming more comfortable with ETFs and other cryptocurrency products. With more ETFs expected to enter the market in the near future, the industry is bound to have an interesting next few months.