11 Jun 2025
📈SEC Proposes Rule Change for Bitcoin and Ethereum ETFs
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing of a Proposed Rule Change, as Modified by Amendment No. 1, To Amend the Bitwise Bitcoin ETF Trust and the Bitwise Ethereum ETF in Order To Permit In-Kind Creations and Redemptions
Summary
The SEC has issued a notice regarding a proposed rule change by NYSE Arca to amend the Bitwise Bitcoin and Ethereum ETFs, permitting in-kind creations and redemptions. This regulatory update aims to enhance operational flexibility and market efficiency for these cryptocurrency trusts, allowing Authorized Participants to engage in direct asset exchanges.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change allowing in-kind creations and redemptions for Bitcoin and Ethereum ETFs could enhance market efficiency and liquidity, thereby benefiting businesses involved in crypto investment and trading. This change facilitates a more flexible transaction process for Authorized Participants and affects regulatory conditions under which these products operate.