SEC rejects WisdomTree's latest spot bitcoin ETF proposal

Policy • October 11, 2022, 12:25PM EDT
The Block

Quick Take

  • The SEC rejected WisdomTree’s most recent attempt to list a spot bitcoin ETF, citing insufficient protection from fraud and manipulation.

The Securities and Exchange Commission (SEC) rejected WisdomTree's most recent attempt to list a spot bitcoin exchange-traded fund (ETF).

The securities regulator rejected the WisdomTree Bitcoin Trust Tuesday after rolling over the decision in both March and August. Like other recent rejections, the order states that WisdomTree has not sufficiently met its burden to protect investors and prevent fraudulent activity and price manipulation.

The SEC has yet to approve a spot-based bitcoin ETF, issuing wave after wave of rejections. Most orders cite these concerns of insufficient practices to prevent market manipulation.

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WisdomTree received another rejection from the regulator in December of last year for a previous iteration of the product. 


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About Author

Aislinn Keely is a reporter on The Block's policy team holding down the legal beat. She covers court decisions, bankruptcies, regulatory actions and other key moments in the legal sphere, putting them in context for the wider crypto industry. Before The Block, she lent her voice to the NPR affiliate WFUV and helmed Fordham University's student newspaper. Send tips or thoughts on all things policy and legal to [email protected] or follow her on Twitter for updates @AislinnKeely.

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