SEC to Stop Fighting Grayscale Spot Bitcoin ETF Bid:Crypto in DC

The US Securities and Exchange Commission won’t ask a federal appeals court to reconsider a ruling that paves a path for Grayscale Investments LLC to launch a spot Bitcoin exchange-traded fund, according to a person familiar with the matter.

The August ruling called the SEC’s rejection of Grayscale’s bid to convert its trust into an ETF “arbitrary and capricious” because the agency did not explain its rationale. The launch of spot Bitcoin ETFs is seen as a major catalyst for the cryptocurrency industry, as they could attract a broader investor base and lift prices.

WATCH: Bitcoin traders experienced some of the wildest price swings they’ve seen in a while when a false report circulated saying US regulators had approved BlackRock’s application for a spot Bitcoin ETF.

Source: Bloomberg

A group of senators led ...