On Tuesday, the court sided with Grayscale in a lawsuit against the Securities and Exchange Commission which had denied the company's application to convert the Grayscale Bitcoin Trust to an ETF.
A spot bitcoin ETF would be traded through a traditional stock exchange, although the bitcoin would be held by a brokerage, and would allow investors to gain exposure to the world's biggest cryptocurrency without having to own the coin themselves.
Many crypto bulls believe that approval of a spot bitcoin ETF will lead to more mainstream institutional adoption.
Bitcoin , ether and other major cap crypto coins surged on the news, and Coinbase , which is listed as the custodian partner in multiple spot bitcoin ETF applications, was up more than 14% on Tuesday.
The company decided to pursue the ETF, which would be backed by bitcoin rather than bitcoin derivatives, after the SEC approved ProShares' futures-based bitcoin ETF in October 2021.
Persons:
bitcoin
Organizations:
Columbia, Appeals, Securities and Exchange Commission, Fidelity, SEC
Locations:
BlackRock