Just-In: Franklin Templeton’s Bitcoin ETF Application Gets SEC Nod

Sunil Sharma
September 28, 2023 Updated October 4, 2024
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Bitcoin Price

The U.S. Securities and Exchange Commission (SEC) has officially acknowledged the spot Bitcoin ETF application from Franklin Templeton, a global asset manager with $1.5 trillion under management. This move comes as the SEC also considers applications for spot crypto exchange-traded funds (ETFs) from other entities, including Hashdex. Franklin Templeton’s filing is particularly notable due to its substantial presence in the asset management sector.

Moreover, the SEC has announced delays in its decisions regarding the ether ETF applications from VanEck and ARK. The regulatory body has a maximum of 240 days from the date the filing appears in the Federal Register to approve or deny an ETF. This places the decision date for these proposed funds in late May 2024. However, the SEC can ask for additional public feedback during several interim deadlines, potentially delaying the final decision.

Advertisement
Advertisement

SEC Delays Decisions on Multiple Crypto ETFs

The SEC has been known to delay decisions, frequently utilizing the entire 240-day window. Decisions on a batch of ETF applications from firms such as BlackRock, WisdomTree, Invesco Galaxy, Wise Origin, VanEck, Bitwise, and Valkyrie Digital Assets were initially expected in mid-October. Additionally, before a potential federal government shutdown, the SEC has extended its decision deadlines for spot Bitcoin ETF applications from Ark 21Shares and Global X.

The federal appeals court in late August mandated the SEC to reevaluate its rejection of Grayscale Investments’ bid to convert its Grayscale Bitcoin Trust into an ETF. This ruling highlighted inconsistencies in the SEC’s approval of similar bitcoin products and has added another layer to the ongoing discussions and considerations regarding crypto ETFs.

Advertisement
Advertisement

SEC Under Scrutiny for Bitcoin ETF Decisions

Congressman Rep Warren Davidson queried SEC Chair Gary Gensler about his respect for the authority of the Judiciary in matters about the Bitcoin ETF. This inquiry was based on Gensler’s prior comment on a court ruling, where the judge labeled the SEC’s basis for denying spot Bitcoin ETF applications as “Arbitrary and Capricious.”

In response to questions about the commission’s approach to revising its stance toward a Bitcoin ETF, Chair Gensler noted that the applications for spot Bitcoin ETF are under “active consideration.” 

Also Read: “Bitcoin Is Not A Security”- SEC Chair Gary Gensler

Advertisement
coingape google news coingape google news
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Sunil is a serial entrepreneur and has been working in blockchain and cryptocurrency space for 2 years now. Previously he co-founded Govt. of India supported startup InThinks and is currently Chief Editor at Coingape and CEO at SquadX, a fintech startup. He has published more than 100 articles on cryptocurrency and blockchain and has assisted a number of ICO's in their success. He has co-designed blockchain development industrial training and has hosted many interviews in past. Follow him on X at @sharmasunil8114 and reach out to him at sunil (at) coingape.com
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.