The U.S. Securities and Exchange Commission has rejected nine bitcoin exchange-traded fund proposals on grounds of potential fraud and market manipulation.
Yesterday the Commission published three orders disapproving a total of nine bitcoin exchange-traded funds (ETFs) proposed by three separate companies.
The rejected applications included:
- ProShares’ two ETFs that would track bitcoin futures contracts,
- Direxion’s five leveraged and inverse ETFs, and
- GraniteShares’ two ETFs.
Notably, the reason for disapproval has been worded identically in all the three cases:
At the same time, the SEC stresses:
Earlier, an ETF proposal filed by the Winklevoss twins was rejected twice, and the Commission has yet to approve a bitcoin ETF.