FameEX Hot Topics | SEC Chair Gensler Sends Bitcoin White Paper Anniversary Greetings, Issues Caution to Crypto Firms

Gary Gensler, the Chair of the U.S. Securities and Exchange Commission (SEC), celebrated the 15th anniversary of Bitcoin's white paper with a playful message, but also emphasized the importance of regulatory compliance within the cryptocurrency industry. In a post on the X social media platform, Gensler extended his greetings to Satoshi Nakamoto's renowned white paper, acknowledging its role in initiating the crypto sector. He wrote, "Happy 15th anniversary to Satoshi’s famous white paper that started crypto."

In a humorous twist, Gensler contemplated whether Satoshi Nakamoto might dress up as themselves for Halloween, pondering if anyone could recognize them in such a costume. However, he concluded his message with a serious warning to crypto companies, delivered with a Halloween theme: "Any crypto companies that are tricking investors should start treating them to compliance with the securities laws." This message generated significant interaction on social media, with many users inquiring about the status of spot Bitcoin exchange-traded funds (ETFs). Despite approving several ETFs based on Bitcoin futures contracts, the SEC has not yet granted approval for a spot Bitcoin ETF. Gensler consistently classifies all crypto tokens as securities, with the exception of Bitcoin.

Gensler offered insights into the SEC's current evaluation of spot Bitcoin ETF applications, revealing that the regulator is reviewing eight to ten such applications. Public records show that 12 spot Bitcoin ETF applications have been submitted to the SEC. Notable applicants include Grayscale Investments, ARK Investment Management (Cathie Wood), BlackRock, Bitwise, WisdomTree, Fidelity, VanEck, and Invesco. Eight of these applications have prospective review dates set for the first quarter of the following year, while three are scheduled for review in the second quarter. Market analysts, including those at JPMorgan, anticipate the simultaneous approval of multiple spot Bitcoin ETFs by the SEC. Recent speculation about BlackRock, the world's largest asset manager, being close to launching its spot Bitcoin ETF has led to a surge in Bitcoin's price. Bernstein Research even suggested that a spot Bitcoin ETF appears highly likely to become a reality in January, describing it as a "done deal."

Gensler's tweet highlights the ongoing debate regarding cryptocurrency regulation, with varying opinions on whether it should be more permissive or subject to strict oversight. The SEC maintains a cautious approach, with Gensler emphasizing the importance of investor protection and compliance with securities laws.

Supporters of a spot Bitcoin ETF argue that it would provide a more direct and accessible investment avenue for retail investors, potentially alleviating the premium associated with products like Grayscale's Bitcoin Trust (GBTC). While the approval of a spot Bitcoin ETF would signify a significant milestone for the crypto industry, the timeline for SEC approval remains uncertain. Until a decision is reached, market participants will continue to monitor regulatory developments and their potential impact on the cryptocurrency market.

Disclaimer: The information provided in this section is for informational purposes only, doesn't represent any investment advice or FameEX's official view.