John Deaton, a prominent advocate for XRP, responds to the recent shift in the U.S. Securities and Exchange Commission (SEC)’s stance and communication regarding approving the spot Bitcoin ETF.
He speculates that Gary Gensler might be motivated by personal factors influencing this change in the SEC’s approach. Furthermore, there have been productive discussions between ETF issuers and the SEC regarding necessary modifications to spot Bitcoin ETF applications.
Attorney John E. Deaton responded to a post by analyst Scott Melker, also known as ‘The Wolf Of All Street.’ In his post, Melker discussed the recent shift in language and tone of the U.S. SEC regarding the spot Bitcoin ETF. Deaton acknowledged the accuracy of Melker’s assessment.
Someone expressed the opinion that they wouldn’t be surprised if the SEC issued a comprehensive document rejecting a Bitcoin ETF, including data and anecdotal evidence. The Appellate Court later deemed the initial rejection as arbitrary and capricious, as mentioned by Deaton.
Deaton maintains that Gary Gensler’s position on Bitcoin remains unchanged. He believes that there is still an association between Bitcoin and terrorism financing or criminal activities.
However, the SEC’s perceived hypocrisy, arbitrary decision-making, and the loss in the Grayscale lawsuit have significantly influenced their stance. Federal judges have criticized these aspects, leading to a shift in the SEC’s perspective.
Crypto Optimism: Notable Figures Bet On SEC Approving Bitcoin ETF
Moreover, Deaton discussed the causes, suggesting a possible connection between the court’s defeat and the ‘Larry Fink effect’. He believes Gensler’s main concern is donors, institutions, and their perspectives.
Members of the cryptocurrency community believe that after his term concludes, Gensler will follow in the footsteps of former SEC Chair Jay Clayton and former SEC Director Bill Hinman. They anticipate that he will pursue career opportunities at prominent institutions like Goldman Sachs or BlackRock.
Bloomberg’s analysts who specialize in ETFs have disclosed that positive dialogues are taking place between the SEC and issuers of Bitcoin ETFs. These discussions cover various crucial areas, such as custodial arrangements, compliance with GAAP, risk disclosures, and energy consumption in mining. Moreover, Bloomberg has raised the likelihood of a spot Bitcoin ETF approval to 90%.
Notable figures such as Mike Novogratz from Galaxy Digital and Cathie Wood of ARK Invest hold an optimistic view regarding the SEC potentially approving a spot Bitcoin ETF in the current year.
Related Reading | EU Implements A New Tax Directive
The author’s views are for reference only and shall not constitute any investment advice. Please ensure you fully understand and assess the products and associated risks before purchasing.
Comments (No)