The United States Stock Exchange and Securities Commission (SEC) approved, this Tuesday, July 29, orders that allow authorized participants to carry out creations and refunds in kind for ETF SPOT (cash) based on Bitcoin and other cryptocurrencies.
This decision marks a significant change with respect to the Bitcoin and Ether to the approved ETF, which were limited to cash operations.
With the approved orders, the Bitcoin and Ether ETFs, like other ETFs based on commodities approved by the SEC, can now create and redeem actions through the Delivery of underlying assets (in kind), instead of cash.
This change aligns these products with the standard practices of other ETFs based on commodities, offering greater flexibility and efficiency.
The president of the SEC, Paul S. Atkins, highlighted The importance of this decision: “It is a new day in the SEC, and a key priority of my presidency is to develop an adequate regulatory framework for cryptoactive markets.”
He added: «I am pleased that the Commission has approved these orders that allow creations and refunds in kind for a series of Cryptoactive ETF. Investors will benefit from these approvals, since they will make these products less expensive and more efficient. ”
Atkins added that these measures contribute to Build a rational regulatory framework for cryptocurrenciespromoting a deeper and more dynamic market that will benefit all investors.
As cryptootics reported, under the administration of ATKINS, the Commission shows a diametrically opposite course to the administration of the previous president, Gary Gensler, who, under his command, the cryptocurrency ecosystem faced questions before acceptance as a new money technology.
For his part, Jamie Selway, director of the SEEC negotiation and markets division, said: “The decision of the commission is an important advance for the growing ETF market based on cryptoactive.
Creation and refund in kind offer flexibility and cost savings for ETF issuers, authorized participants and investors, resulting in a more efficient market. ”
