The U.S. Securities and Exchange Commission (SEC) has provided a second rejection for the Winklevoss Bitcoin ETF.
The new outline for rejecting the Winklevoss Bitcoin ETF comes in the form of a 92-page document. Those not closely following the news are forgiven for not realizing that this is the second rejection letter from the SEC.
This new letter of rejection for the Winklevoss Bitcoin ETF is necessary to address a second filing by the Winklevoss Twins. This second filing saw revisions made to the ETF that the SEC deemed unworthy of granting approval over.
One thing to note about the rejection letter is that not all members of the SEC were on board with it. SEC Commissioner Hester Peirce was among the dissenters. She released a statement saying that she rejects “the role of gatekeeper of innovation,” reports News BTC.
“The main focus of the SEC is investor protection,” Maxim Nurov, a fund manager at Black Square Capital, told CNNMoney. “Winklevoss ETF was rejected due to potential market manipulation of the underlying asset price, moreover ETF share price was entirely dependent on the bitcoin price at Gemini exchange.”
The Winklevoss Twins are the owner of the Gemini Trust cryptocurrency exchange, which is where the ETF would have been traded if it got approval from the SEC. Despite the second rejection letter, the creators of the Winklevoss Bitcoin ETF say that they are still looking forward to working with the SEC on future endeavors.
As of this writing, William White did not hold a position in any of the aforementioned securities.