- Grayscale calls for approval of spot Bitcoin ETFs in the U.S.
- Its legal team submitted a comment letter supporting the case to convert GBTC to spot ETF.
- The firm emphasized the interconnectedness of Bitcoin spot and futures markets.
In a recent tweet, Grayscale Investments, a prominent digital asset management firm, made a compelling case for approving spot Bitcoin exchange-traded funds (ETFs) in the United States.
The firm called explicitly for the approval of spot ETFs in light of the Securities and Exchange Commission (SEC)’s previous Bitcoin futures ETF clearance. Grayscale argued that prior approvals of futures ETFs suggest the regulator is well-positioned to greenlight spot Bitcoin ETFs.
Meanwhile, according to the company’s Chief Legal Officer, Craig Salm, the legal team has taken proactive measures while awaiting a court decision regarding its lawsuit to convert GBTC to a spot bitcoin ETF.
To strengthen their case, Grayscale’s legal team submitted a comment letter along with seven other spot bitcoin ETF filings that include newly-proposed surveillance sharing agreements (SSAs). Grayscale believes American investors should have access to spot bitcoin ETFs, emphasizing several vital points in its comment letter.
The increasing momentum around spot bitcoin ETF filings is seen as a positive sign by Grayscale, as it demonstrates the continued maturity of the Bitcoin spot market.
Furthermore, Grayscale contended that spot and futures markets of Bitcoin are interconnected, as evidenced by third-party studies showing a 99% correlation. According to Grayscale, surveillance in the CME Bitcoin futures market, regulated by the CFTC and a member of the Intermarket Surveillance Group, should be sufficient to safeguard against potential fraud or manipulation in the underlying spot bitcoin market.
Grayscale clarified that while the inclusion of an SSA with a spot Bitcoin market is not a definitive solution, they are supportive of any efforts that enable investors to access the crypto ecosystem and increase oversight in centralized crypto markets.
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