Markets

CBOE has applied for the ARK 21Shares Spot Bitcoin ETF for the third time

The Chicago Board Options Exchange has filed for the ARK 21Shares Bitcoin ETF with the SEC for the third time. The agency had rejected the request twice before.

The Chicago Board Options Exchange (CBOE) has filed another proposal for the ARK21Share Bitcoin ETF with the US Securities and Exchange Commission (SEC). An ETF is one place — none of its kind has been approved by the Securities and Exchange Commission — and it relates to those offered by Ark Invest and investment firm 21.

The SEC is still hesitant about bitcoin ETFs

The Securities and Exchange Commission (SEC) has been very reluctant to approve spot ETFs, and it may be a while before the market sees approval of one. With the US government increasingly focused on regulating the crypto market, it looks like there will be a lot of regulation before these investment products hit the market.

As for CBOE, it has applied For approval of this fund twice before, with the SEC rejecting it out of concern for investor protection. While this is the current environment in which the entities operate, it does not appear to prevent them from advancing.

Ark 21Shares Spot Bitcoin ETF has been rejected twice before

The SEC first rejected the ARK 21Shares Spot Bitcoin ETF in April 2022, citing concerns about the ability to prevent fraudulent and manipulative practices. The ETF, with the ARKA ticker, will not see Ark Investment provide investment decisions or advice, as the company only provides marketing support.

In the The second refusal, which occurred in January 2023, the SEC stated that the ETF “has not demonstrated that its proposal complies with requirements.” With the second rejection, the SEC is clearly not ready to approve a spot ETF unless there are major changes in the crypto market.

The SEC has dumped several Bitcoin ETF applications

Previous rejections by the Securities and Exchange Commission (SEC) are a testament to the reality of the agency’s difficult position in the cryptocurrency market. Grayscale and VanEck have also seen ETFs rejected, with the former even going forward with a lawsuit upon rejection.

The Securities and Exchange Commission (SEC) denied WisdomTree’s immediate Bitcoin ETF application on the same investor protection grounds. Similarly, it also rejected a request from New York Digital Investment Group and fund manager Global X.

Disclaimer

Adhering to the Trust Project’s guidelines, BeInCrypto is committed to providing unbiased and transparent reporting. This news article aims to provide accurate and timely information. However, readers are advised to independently check the facts and consult with a professional before making any decisions based on this content.

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