{"id":63705,"date":"2022-06-30T10:26:24","date_gmt":"2022-06-30T07:26:24","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=63705"},"modified":"2025-09-06T10:27:11","modified_gmt":"2025-09-06T07:27:11","slug":"grayscale-sues-sec-over-refusal-to-convert-gbtc-into-an-etf","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/grayscale-sues-sec-over-refusal-to-convert-gbtc-into-an-etf\/","title":{"rendered":"Grayscale sues SEC over refusal to convert GBTC into an ETF"},"content":{"rendered":"<p>Grayscale Investments has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC) after the regulator rejected its application to convert the GBTC trust into a<a href=\"https:\/\/forklog.news\/chto-takoe-bitkoin-etf\/\"> \u0431\u0438\u0442\u043a\u043e\u0438\u043d-ETF<\/a>.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">We\u2019ve filed a lawsuit against the SEC. <a href=\"https:\/\/twitter.com\/search?q=%24GBTC&#038;src=ctag&#038;ref_src=twsrc%5Etfw\">$GBTC<\/a><\/p>\n<p>\u2014 Sonnenshein (@Sonnenshein) <a href=\"https:\/\/twitter.com\/Sonnenshein\/status\/1542311510055292928?ref_src=twsrc%5Etfw\">June 30, 2022<\/a><\/p><\/blockquote>\n<p> <script async=\"\" src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>The regulator <a href=\"https:\/\/www.sec.gov\/rules\/sro\/nysearca\/2022\/34-95180.pdf\">justified<\/a> the verdict as failing to meet the requirements for \u201cpreventing fraudulent and manipulative acts [\u2026], as well as protecting investors and the public interest.\u201d<\/p>\n<p>Earlier the company stated that the SEC&#8217;s willingness to approve a futures-based Bitcoin ETF, while rejecting applications based on its spot version <a href=\"https:\/\/forklog.news\/v-grayscale-dopustili-chto-sec-narushila-zakon-pri-odobrenii-fyuchersnyh-bitkoin-etf\/\"> may violate the law<\/a> under the Administrative Procedure Act.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cFutures Bitcoin-<\/em><a href=\"https:\/\/forklog.news\/chto-takoe-bitkoin-etf\/\"><em>ETP<\/em><\/a><em> under the Investment Company Act of 1940 and spot Bitcoin-ETP, which do not require such registration, are alike in all material respects. However, relying on the denial order [VanEck&#8217;s] from November 12, 2021, the Commission treats them differently,\u201d<\/em> the letter stated.<\/p>\n<\/blockquote>\n<p>If the SEC did not identify market manipulation in the futures market, the company said at the time, one could conclude that the spot market likewise meets this criterion.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe are deeply disappointed and strongly disagree with the Commission&#8217;s decision to continue prohibiting spot Bitcoin ETFs from entering the U.S. market,\u201d<\/em> the Grayscale press release said after the SEC&#8217;s decision.<\/p>\n<\/blockquote>\n<p>CEO Michael Sonnenshein vowed to \u201cuse all of the company&#8217;s resources to protect investors&#8217; interests and ensure fair regulation of investment instruments in the first cryptocurrency.\u201d<\/p>\n<p>The head of the firm first <a href=\"https:\/\/forklog.news\/v-grayscale-zayavili-o-gotovnosti-suditsya-s-sec-v-sluchae-otkaza-v-preobrazovanii-gbtc-v-etf\/\">allowed<\/a> this possibility in March 2022.<\/p>\n<p>Grayscale noted that during the SEC&#8217;s review of converting GBTC into an ETF, 99.9% of those who left one of the 11 400 comments supported it. <a href=\"https:\/\/grayscale.com\/spot-bitcoin-etf-comment-analysis\/\">supported 99.9%<\/a>.<\/p>\n<p>As noted, the SEC has not yet approved any applications to launch a spot Bitcoin ETF. <a href=\"https:\/\/forklog.io\/geri-gensler-obyasnil-prichiny-otkloneniya-zayavok-na-zapusk-spotovogo-bitkoin-etf\/\">not approved<\/a> any such filing for launching a spot Bitcoin ETF.<\/p>\n<p>Grayscale Investments <a href=\"https:\/\/u1f987.com\/en\/news\/dcg-chief-confirms-plans-to-convert-grayscales-bitcoin-trust-into-an-etf\">applied<\/a> to convert a digital-gold-backed trust into a spot Bitcoin ETF on October 19, 2021.<\/p>\n<p>On December 17 the SEC <a href=\"https:\/\/forklog.news\/sec-perenesla-resheniya-po-zayavkam-bitwise-i-grayscale-na-zapusk-bitkoin-etf\/\">deferred<\/a> a decision on Grayscale Investments&#8217; application. In February the Commission <a href=\"https:\/\/forklog.news\/sec-perenesla-reshenie-po-zayavke-grayscale-na-zapusk-spotovogo-bitkoin-etf\/\">took the same step again<\/a>.<\/p>\n<p>Earlier, the GBTC<a href=\"https:\/\/u1f987.com\/en\/news\/grayscales-gbtc-discount-surges-past-34\"> discount<\/a> exceeded 34%.<\/p>\n<p> Read ForkLog\u2019s bitcoin news in our <a href=\"\/\/telegram.me\/forklog\"\" target=\"\"_blank\"\" rel=\"\"nofollow\" noopener\">Telegram<\/a> \u2014 cryptocurrency news, prices and analysis.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Grayscale Investments has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC) after the regulator rejected its application to convert the GBTC trust into a Bitcoin ETF.<\/p>\n","protected":false},"author":1,"featured_media":63706,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[943,36,128,1211],"class_list":["post-63705","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-grayscale-investments","tag-regulation","tag-sec","tag-stock-market"],"aioseo_notices":[],"amp_enabled":true,"views":"20","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/63705","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=63705"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/63705\/revisions"}],"predecessor-version":[{"id":63707,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/63705\/revisions\/63707"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/63706"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=63705"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=63705"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=63705"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}