SEC’s August Rebuke Fuels Optimism for Grayscale’s Bitcoin Trust (GBTC) ETF Conversion

The United States Securities and Exchange Commission (SEC) has reportedly chosen not to contest a recent court ruling that favored the conversion of Grayscale’s Bitcoin Trust (GBTC) to a Bitcoin spot exchange-traded fund (ETF). Disclosed on Friday, this move signals a positive outlook for the first Bitcoin ETF, hinting at a potential SEC shift.

The lack of an SEC appeal enables the District of Columbia Court to conclude the case and issue a judgment. With this, Grayscale can initiate talks with the SEC about converting its GBTC to a Bitcoin spot ETF.

Grayscale’s protracted struggle with the SEC is resolving this latest turn of events. Initially, the asset manager contested the SEC’s denial, citing unequal treatment for Bitcoin investment vehicles.

Industry leaders like BlackRock, Fidelity, and WisdomTree are likely watching this case closely, anticipating potential ripple effects. Analysts expected the SEC to approve various bitcoin ETFs simultaneously, not limiting approval to Grayscale.

The SEC’s non-opposition led to a significant Bitcoin price surge, briefly surpassing $27,000. ( This development underscores the market’s optimism for the prospects of cryptocurrency exchange-traded funds. Despite retracement, the news reinvigorated the market, reflecting investors’ positive sentiment about digital asset acceptance.

Coinciding with the recent developments, Grayscale’s Bitcoin Trust has experienced a narrowing discount, signaling increased investor confidence in the imminent approval of the GBTC Bitcoin ETF. Meanwhile, social media speculation by Pentoshi about Bitcoin reaching $180,000 has sparked debates within the community, adding to the enthusiasm surrounding the cryptocurrency’s future trajectory.