Rejected Bitcoin ETF Sponsor Considers Suing SEC

Bitwise Asset Management will consider suing the U.S. Securities and Exchange Commission after the regulator rejected a Bitcoin exchange-traded fund filing. The SEC has approved funds that invest in bitcoin derivatives but considers that the Bitwise offering based on the spot price of the cryptocurrency is too susceptible to potential fraud and manipulation to be listed for trading. In October, Bitwise filed for another ETF as it felt more prepared after meeting with the SEC about a dozen times to discuss the crypto market and research. The company said litigation is a potential method the crypto community can use to gain clarity about federal rules for the industry. Grayscale Investments sought a review with the US Court of Appeals in Washington just an hour after its spot bitcoin ETF was rejected by the SEC Source