The US Security and Exchange Commission(SEC) has rejected Bitwise proposal to list Bitcoin ETF according to a piece of document published on October 9.
According to the announcement,application had been filed in collaboration with NYSE Arca does not meet the necessary requirement aimed at fighting illegal activities.
The SEC wrote:
“The Commission is disapproving this proposed rule change because, as discussed below, NYSE Arca has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of Exchange Act, and, in particular, the requirement that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices’.”
The application is said to have been submitted earlier this year.