US Securities and Exchange Commission (SEC) Commissioner Hester Pearce said the regulator's position on approving Bitcoin ETFs “really sticks with us.”
In a recent interview with Coinage, Pierre said the SEC “heard from the court that the approach we're taking is flawed, not showing the kind of consistency that a regulator should.” SEC Chairman Gary Gensler said he accepted the court's analysis.
While Peirce declined to comment on the status of spot Ethereum ETF applications, she expressed her hope that future crypto ETF applications will not be plagued by court cases and appeals.
“This is not how we do our approval,” Perce said. It's arbitrary and capricious for us to really understand it.”
Pearce cautioned, “I don't want to predict what will happen with any particular exchange-traded product, facts and circumstances are important.” She added that it takes a long time and “a lot of work” to make an exchange-traded product ready for market; Among them are “verifying how the product actually works”.
The SEC's approval of Bitcoin ETFs was thrown into confusion when the regulator's Twitter account was “defaced,” posting a false tweet claiming that Bitcoin ETFs had been approved a day before the actual approval was announced. The fake tweet and his retraction caused chaos in the crypto markets, with the price of Bitcoin plummeting on the news.
Pearce aimed for the regulator's “troubled” ETF approval to generate more excitement around a regulatory decision deadline.
If we hadn't built so much focus on these endorsements, we wouldn't be in this place where someone would think of doing something like this or where someone would be worth the time to do something like this. ” she added about unauthorized tweeting.
Perce doubled down on her comments following the approval of the Bitcoin ETF, in which she accused the regulator of “abusing administrative processes to withhold investments from the public that we don't like.”
“A lot of times, in our highly regulated world, we forget what the other part of the rule is, which is, when you're going to protect someone, you're taking away people's choices,” she said. “Letting the American people decide whether or not to keep these products in their portfolios is a good thing.”
Edited by Stacy Elliott.
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