The US Securities & Exchange Commission, or the SEC, keeps making the splash when it comes to taking the crypto heads on. This time, it is not just from lawmakers but also from TradFi players who are speaking their minds about spot Bitcoin ETFs.
Reports surfacing on the Internet are handing over the defeat to the SEC, claiming that the Commission is under pressure to approve spot Bitcoin ETF. It is only increasing after the loss in Court on Tuesday. The SEC has sought some time to review the final verdict before coming up with a resolution. Needless to say, it is more about trying to find a middle way amid the recent loss and political pressure.
There is a chance that the SEC may simply move its opinion aside under the umbrella of being diplomatic. It will be a retreat from the losing position with no effect on the approval of the spot Bitcoin ETF. Bloomberg Intelligence Analysts have even increased the chances to 75% from 65% after a Court ruled in favor of Grayscale Investments.
The SEC does not intend to convert its Grayscale Bitcoin Trust to an ETF; however, the panel of judges has instructed to do otherwise. This is precisely the verdict that is now under consideration by the Commission. The next steps are expected to be made public in the days to come once the SEC has reviewed the application.
Eric Balchunas has stated that there was always a possibility for Grayscale to win the court case, adding that it offers complete clarity and rebuke on the reasons of the SEC for denial. Eric is a senior ETF analyst at Bloomberg Intelligence. His comparison went to the extent of quoting that it is like predicting the Patriots to win the Super Bowl.
This means that predictions are not needed where there is a surety of win for a side, Grayscale Investment in this instance.
Meanwhile, calls are taking a stringent turn to fire Gary Gensler, the current chair of the SEC. US Rep. Patrick McHenry has published a post on X (formerly Twitter) to state that every move of his is falling apart when under scrutiny in the Court. The move here refers to the steps being taken against the digital asset ecosystem. US Rep Warren Davidson has even reminded everyone about his call to get Gary fired from his position.
It remains to be seen how the game turns out amid some experts expressing their beliefs that Gary is actually under political pressure to block Bitcoin ETF.
Steven McClurg, a Chief Investment Officer, has echoed this tone. He hails from Valkyrie, sounding confident while saying that the charge is actually being led by Elizabeth Warren, a firm supporter of the anti-crypto army.
Warren could negatively pressurize the crypto sphere, majorly by quoting their anti-crypto statements. Supporters say that it may slow down the process, but their words will not do any other harm.