Bitcoin ETF: BlackRock, Grayscale, Fidelity, and Franklin Templeton Meet With SEC

Four of the top applicants for a Bitcoin spot ETF have met with the United States Securities and Exchange Commission (SEC) to iron out technical details regarding the much-awaited product.

Bloomberg ETF Analyst James Seyffart confirmed these meetings, noting that the latest development marks the third time BlackRock will be meeting with the officials from the Division of Trading and Markets. 

While Seyffart said there was not much news to report about the meetings, he rightly observed the presence of the SEC’s Division of Corporate Finance, another key unit that can sway the decision for the ETF.

One underlying similarity these discussions had in common relates to the listing plans of the Bitcoin ETFs by each applicant’s respective stock exchanges.

Nothing groundbreaking to report but 4 different issuers have met with the SEC regarding their #Bitcoin ETF filings in last few days. @BlackRock met with them yesterday for the third time in as many weeks. While @Grayscale, Franklin, and @Fidelity each had meetings last week pic.twitter.com/5gwBk83m0o

— James Seyffart (@JSeyff) December 12, 2023

This advancing communication indicates that the SEC is more invested in the applicants and the products than it was in the past.

Bitcoin ETF: Short Approval Window Drawing Close

Ten years after the SEC rejected the first attempt to launch a spot Bitcoin ETF, the regulator now faces another major test. Notably, the deadline to give its final verdict on the ARK Invest and 21Shares joint application is early next year.

With pent-up expectations, all eyes are on the SEC as the verdict may either elongate the race in the case of approval or usher in a new era that many investors have been waiting for. 

The ongoing meetings with the SEC have prompted a number of revisions to the original applications. Tagged as a good omen to meet the SEC’s ultimate demands, experts have predicted that should the regulator choose to approve the Bitcoin ETF, it will do so for multiple applications.

Implication for Bitcoin Price

Many market analysts believe that if the SEC ends up approving a spot Bitcoin ETF, the development will usher in massive institutional capital that can shift the price of BTC positively.

In an August report, Tom Lee, the Head of Research and Contributor at CNBC, predicted that Bitcoin could soar to $150,000 if the SEC approves a spot Bitcoin ETF. While others have also shared this sentiment in the past, Seyffart cautioned against “Extreme” expectations in a recent post on X.

He compared the hype to the historical performance of Gold whose ETF has only amassed approximately $95 billion in capital for close to 2 decades since its launch.