The spot Bitcoin-ETF applications from BlackRock, Fidelity and other firms were not ‘clear and comprehensive.’ The SEC told Nasdaq and the CBOE, according to Wall Street Journal, citing informed sources.
According to them, the Commission returned the filings because they did not contain sufficient information about the so-called surveillance-sharing agreement or details of this mechanism.
A CBOE spokesperson, in comments to the publication, clarified that they plan to update and refile the documents.
Fidelity’s filing mentions the surveillance-sharing agreement mechanism, which became a key addition to BlackRock’s proposal. The investment giant filed documents to register a spot Bitcoin ETF at the end of June, joining Valkyrie, WisdomTree and Invesco.
To date, the SEC has rejected almost all spot Bitcoin ETF filings. The Commission made an exception for products ProShares and Valkyrie Investments, which are based on Bitcoin futures on the Chicago Mercantile Exchange. Grayscale filed suit against the regulator after the rejection.
In the wake of the news, Bitcoin’s price briefly fell toward around $29,500, but quickly recovered to above $30,000. According to CoinGecko, over the last 24 hours the asset fell 1.4%.
Some assets among the top-10 by market cap also ended up in the ‘red zone’.
Earlier, Circle CEO Jeremy Allaire forecast that the recent wave of proposals to launch spot Bitcoin ETFs would lead to regulatory approval.
ARK Invest and 21Shares have priority over BlackRock and others in the SEC’s list of spot Bitcoin ETF filings, based on the timing of their submissions.