Gensler Hints Grayscale Ruler Forced SEC to Take ‘New Look’ at Bitcoin ETFs
United States Securities and Exchange Commission (SEC) Chairman Gary Gensler has hinted that the regulator is rethinking its approach to identifying Bitcoin (BTC) exchange-traded products following a recent grayscale court ruling.
Speaking to CNBC on December 14th, Gensler was asked about the long pending position of Bitcoin exchange-traded fund (ETF) applications. He said the SEC currently has “eight to ten dozen filings” in the process.
“We have rejected many of these applications in the past,” he said, before adding that the courts had weighed in on that. This was followed by a statement suggesting that the agency might change its stance on Bitcoin.
“So we're taking a fresh look at this based on court decisions.”
News anchor Sarah Eisen asked if he was talking about grayscale. However, Gensler evaded the question by saying that everything in the SEC is “based on the laws that Congress makes and how the courts interpret them.”
In August, a federal judge overturned the SEC's decision to block an ETF offering from Grayscale Investments through a Bitcoin trust.
A number of large asset managers, including BlackRock, Fidelity, Greyscale, Invesco and Galaxy, VanEeq and Valkyrie, are now racing to launch the Bitcoin ETF space. All applications have been delayed, but some analysts are confident that category approval will happen as early as January 2024.
Related: Bitcoin ETF Applicants Must ‘Bend Their Knees' on Cashback Model
In a separate interview with Bloomberg's Kylie Leinz on Dec. 14, Gensler brushed aside questions about the number of Bitcoin offerings for the space. Instead, the agency's focus has been on changes in the U.S. Treasury market, he said.
In response to Gensler's interview, US Rep. Brian Steele commented on X (formerly Twitter).
“Chairman Gary Gensler glosses over crypto in the press, as he does in committee hearings. He doesn't want to explain the agency's aggressive regulatory approach that is pushing crypto offshore.
“Gensler rarely gives clear answers! He's a master at mincing his words,” commented Bloomberg EFF analyst James Seifert.
Chairman @GaryGensler stumps on crypto with press as he does in committee hearings. He doesn't want to explain the agency's aggressive regulatory approach, which is pushing crypto offshore. https://t.co/YdQFN42jmK
— Brian Steil (@RepBryanSteil) December 13, 2023
Magazine: Crypto Regulation: Does SEC Chairman Gary Gensler Have Final Comments?
