According to procedure in such cases, the D.C. Circuit Court of Appeals had seven days to close the books on this matter after the SEC chose last week not to appeal the court’s ruling that the agency must scrap its rejection of Grayscale’s ETF application. That deadline is arriving on Friday, and there are a couple of possibilities for what the court does next: It can just terminate the case without comment, or it could issue some further direction to the SEC on what comes next.
That’s the sticking point in this eagerly watched legal dispute. Consequential uncertainties remain over what happens now with Grayscale’s application. The SEC could technically seek to reject it again for different reasons, or the regulator could give in and approve this and other ETF applications, such as those from financial giants BlackRock and Fidelity.
‘Enforcement 40’ for 2020
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