The U.S. Securities and Exchange Commission (SEC) continues to shield off a first Bitcoin spot ETF in the United States.
After already having rejected a number of ETF applications, including VanEck‘s and Fidelity’s bids, the U.S. regulator has now denied NYSE Arca’s bid to change rule to list and trade shares of the NYDIG Bitcoin ETF.The SEC also ended Cboe BZX Exchange’s hopes and dismissed its proposal to change a rule preventing the listing of its Global X Bitcoin Trust.
According to the agency, neither NYSE or BZX comply with the minimum legal requirements needed to safely run a securities exchange platform in the U.S.
“The Commission concludes that [NYSE Arca and BZX] have not met [their] burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that [their] proposals [are] consistent with the requirements of Exchange Act Section 6(b)(5), and in particular, the requirement that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices’ and ‘to protect investors and the public interest.’”