fidelity bitcoin etf

The SEC has rejected Fidelity’s proposal for a spot Bitcoin ETF.

The Securities and Exchange Commission (SEC) of the United States has rejected Fidelity’s request for a spot Bitcoin exchange-traded fund (ETF). In rejecting the financial services company’s application, the agency expressed concerns about fraud and investor safety.

The Securities and Exchange Commission has rejected Fidelity’s request to launch a Bitcoin exchange-traded fund (ETF), claiming that there is insufficient oversight of the cryptocurrency market to avoid price manipulation.

“The Commission is disapproving this proposed rule change because it does not find the proposal to be consistent with Section 6(b)(5) of the Exchange Act

Fidelity managed to file a registration statement for two proposed Bitcoin futures exchange-traded funds (ETFs) in late July. These ETFs were seen as a crucial step toward the institutionalisation of cryptocurrency and its general adoption.

The SEC’s rejection of Fidelity’s proposed Bitcoin ETFs is a major setback for the cryptocurrency industry.

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