The US Securities and Exchange Commission has postponed its decision on NYDIG’s proposed bitcoin spot trading fund for another 60 days.
The deadline, which was previously January 15, is now March 15, according to a Tuesday notification from the organizer. The notice said the additional two months would give the Securities and Exchange Commission “sufficient time” to evaluate the proposal from NYDIG, a subsidiary of Stone Ridge Holdings Asset Management.
The delay follows the pattern of Securities and Exchange Commission (SEC) decisions on bitcoin ETFs, which would track the real-time price of the cryptocurrency. Similar proposals from Valkyrie and Kryptoin just before Christmas were rejected on the grounds that they did not meet SEC standards to prevent fraudulent practices.
However, several bitcoin futures ETFs have been approved by the Securities and Exchange Commission, including ProShares and VanEck funds last year. SEC Chairman Gary Gensler has been more accepting of bitcoin futures products, previously citing a 1940 law providing “significant investor protection” for mutual funds and ETFs.
Meanwhile, Canada approved bitcoin ETFs last year, giving crypto enthusiasts hope that the Securities and Exchange Commission (SEC) could be next.
But Gensler remained cautious. In August, he urged Congress to grant the Securities and Exchange Commission greater regulatory authority over the now $2 trillion cryptocurrency market, which he likened to Wall Street’s “wild west” for its lack of investor protection. Many investors, such as those who flocked to SquidGame coin only to lose their money, have been scammed in the crypto market.