In spite of much market hope this afternoon, a decision has not been made today in the highly anticipated Grayscale vs SEC case.
It had been previously predicted by Bloomberg analysts that the verdict on the Grayscale suit with the Securities and Exchange Commission (SEC) to turn its Bitcoin trust (GBTC) into a spot Bitcoin exchange-traded fund (ETF) would see fruition today.
It follows the SEC’s rejection of Grayscale’s request in June last year to convert GBTC into a spot BTC ETF, with the firm later suing the regulator.
While a growing number of ETF applications by the likes of Fidelity, Valkyrie and BlackRock are in line to be reviewed by the SEC, Grayscale is different as it hopes to change an already existing BTC product into a new version.
However, in the past hour, Bloomberg ETF expert James Seyffart has tweeted: “UPDATE: Unfortunately today is not the day either. No decision on @Grayscale vs @SECGov case for converting $GBTC into a #Bitcoin ETF. Come back next Tuesday for more potentially useless updates!”
Seyffart also retweeted replies from the crypto community on X (formerly Twitter). In response, he added: “Lot of questions like “How abnormal is this?” This is longer than normal for a case argued in March. If it goes beyond Labor Day, then it becomes pretty strange. If we go through all of September without a decision & goes into October then its *very* abnormal. cc@SGJohnsson.”
The news would have been a welcome distraction on a day of mass crypto carnage as the global market cap has fallen 5.84% to is $1.05trillion following a crash that saw the price of BTC and ETH fall to a two-month low.
At the time of writing, the price of Bitcoin is trading at $25,997.70, down 7.35% in the past day according to CoinMarketCap. Meanwhile, Ethereum is trading at $1,658.78, down 4.71% in the last 24 hours. The slump has led to a mass of liquidations amounting to a total of more than $1.04billion, with the largest single liquidation order happening on Binance – ETHBUSD at a pop of $55.92m.