The U.S. Securities and Exchange Commission has delayed its decision on VanEck’s application for a spot Bitcoin (BTC-USD) exchange traded fund.
At the moment, the financial market does not have a spot Bitcoin ETF. This type of fund would differ from a Bitcoin strategy ETF, like investment vehicles currently provided by the ProShares Bitcoin Strategy ETF (NYSEARCA:BITO), Valkyrie Bitcoin Strategy ETF (NASDAQ:BTF) and VanEck Bitcoin Strategy ETF (BATS:XBTF).
While those ETFs use Bitcoin future contracts to price the underlying fund, a spot Bitcoin ETF would hold actual Bitcoin inside of the ETF wrapper.
Van Eck, which manages more than $65B in assets under management, has now filed for three spot Bitcoin ETFs. Each time, the SEC has denied its application, with this time deciding to delay its decision.
The asset manager’s latest spot filing was on June 24. The SEC said it was extending the decision on VanEck’s application by another 45-day period, until October 11.
According to the SEC, “the Commission finds that it is appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change and the issues raised therein.”
Bitcoin has been under pressure as it earlier dropped below $20,000 as it has felt continued lagging effects from Federal Reserve Chair Jerome Powell’s hawkish remarks made Friday at the Jackson Hole Economic Symposium.