The U.S. Securities and Exchange Commission (SEC) rejected funding agency Kryptoin’s proposal for a spot bitcoin exchange-traded fund (ETF) in a letter on Wednesday.
- The choice comes roughly 5 weeks after the company had rejected VanEck’s utility for a spot bitcoin ETF.
- It was additionally not sudden, as SEC Chair Gary Gensler has indicated his desire for a bitcoin futures ETF over an ETF that holds bitcoin itself.
- Two bitcoin futures ETFs, the ProShares Bitcoin Strategy ETF (BITO) and the Valkyrie Bitcoin Strategy ETF (BTF), started buying and selling in October.
- The SEC first started formally evaluating the Kryptoin utility in April.
- Bitcoin’s value was down barely in Wednesday afternoon buying and selling.
Read extra: SEC Delays Decision on 4 Bitcoin ETFs