Matrixport: SEC to Reject Spot Bitcoin ETF Proposals in January

Crypto investment services provider Matrixport expects the U.S. Securities and Exchange Commission (SEC) to reject all applications to list a spot bitcoin exchange-traded fund (ETF) this month.

“The current five-person voting Commissioners leadership critical for the ETF approval of the SEC is dominated by Democrats,” wrote the firm in a note on Wednesday. “SEC Chair Gensler is not embracing crypto in the U.S., and it might even be a very long shot to expect that he would vote to approve bitcoin spot ETFs.”

“An ETF would certainly enable crypto overall to take off, and based on Gensler’s comments in December 2023, he still sees this industry in need of more stringent compliance,” Matrixport continued. “From a political perspective, there is no reason to approve a bitcoin spot ETF that would legitimize Bitcoin as an alternative store of value.”

Source: Matrixport: SEC to Reject Spot Bitcoin ETF Proposals in January