Grayscale is ready to fight a legal battle with SEC for its spot BTC ETF

Michael Sonnenshein, the CEO of digital currency investing and cryptocurrency asset management firm Grayscale said that the firm is gearing up for a legal fight if the United States Securities and Exchange Commission (SEC) denies its Bitcoin spot ETF.

During an interview with Bloomberg on March 29, Sonnenshein was asked if the company would consider the APA or Administrative Procedure Act lawsuit if its BTC spot ETF application gets denied by the SEC to which he responded:

“I think all options are on the table.”

SEC’s repeated delay over Grayscale Bitcoin ETF

He went on to highlight the need of continuing to advocate for crypto investors. The application which was originally filed in October 2021, has July 6, 2022, as its next decision date for the approval or disapproval of the investment product. As TheCoinRise reported in February, the SEC delayed the decision on approval of Grayscale Bitcoin ETF, citing that a longer period was required to consider the proposed changes. The CEO said:

“The Grayscale team has been putting the full resources of our firm behind converting GBTC, our flagship fund, into an ETF. It’s really important that investors know that we have and will continue to advocate for them.”

The eagerness of the firm on the decision can be seen by its recent campaign where it asked U.S. investors to comment on its Bitcoin ETF application. It has a section of its website dedicated to encouraging investors to send comments to the SEC. 

“GBTC today is owned by investors in all 50 states, and there are actually now over 800,000 accounts in the U.S. all waiting patiently to have it converted into an ETF,” Sonnenshein said.

He added that the company believes in approval, with only a matter of when. The tough stance of the SEC sometimes reverses with some signals that the regulatory body will solve the matter after a clear set of regulations.