SEC May Revisit Grayscale Spot BTC ETF Filing Thursday

The U.S. Securities and Exchange Commission (SEC) may revisit Grayscale's Bitcoin exchange-traded fund (ETF) application, even though it did not request the federal court to review its August ruling that will allow the investment giant to launch the highly-anticipated BTC offering.

The agenda of an upcoming closed-door meeting of the SEC with officials, Commissioners, Secretary to the Commission, and counsel to the Commissioners, was published online and suggested that the regulator may include in its Thursday meeting a review of settlement and resolution claims.

Although the schedule doesn't explicitly mention the SEC's discussion of their recent decision to not appeal the federal court's ruling in the Grayscale case, there are speculations about it being addressed. This speculation arises from the timing of the meeting, which coincides with the deadline for appealing the court order from Aug. 29, 2023. The order favors the conversion of the Grayscale Bitcoin Trust (GBTC) into a spot Bitcoin ETF.

In a post on social media platform X, finance lawyer Scott Johnson said that the agenda in the upcoming closed-door meeting would involve resolving litigation claims and administrative proceedings.

"November 2 - I believe this is the first closed meeting of the Commissioners since Grayscale appeal deadline expired and the mandate was delivered. Agenda includes resolving litigation claims and admin proceedings. There were leaks out of the closed meeting ahead of BITO launch," Johnson, who is also a general partner at Van Buren Capital, shared.

"It's a date of interest, but no certainty we get any news," he added.

On Oct. 23, the federal court ordered the SEC to revisit the Grayscale ETF decision, emphasizing the similarities between the investment company's proposition and its Bitcoin futures ETFs.

"In accordance with the judgment of August 29, 2023, and pursuant to Federal Rule of Appellate Procedure 41, this constitutes the formal mandate of this court," the D.C. Circuit Court of Appeals told the SEC as it closed the books on the dispute between the major Wall Street regulator and Grayscale, with its final ruling.

The court's order to the SEC last week solidified the court's earlier ruling in August, which noted that the SEC was "arbitrary and capricious" in its decision to reject Grayscale's bid to convert its $17 billion Grayscale Bitcoin Trust (GBTC) into a spot ETF.

BTC was trading in the green zone at $34,440.74 as of 3:03 a.m. ET on Wednesday, with a 24-hour trading volume down by 11.48% at $15,358,332,290. This represented a 0.86% increase in the last 24 hours and a 1.0% gain over the past seven days.

Bitcoin's total circulating supply stands at 19,529,925 BTC, with its value up by 0.81% at a $673,584,949,5122 market cap, based on the latest data from CoinMarketCap.