The post SEC Delays Decision on 7RCC’s Spot Bitcoin and Carbon Credit Futures ETF appeared on BitcoinEthereumNews.com.

SEC delays 7RCC Spot Bitcoin ETF decision, extending the review period until November 21, 2024. The U.S. Securities and Exchange Commission (SEC) stated that it requires more time to thoroughly evaluate the 7RCC Spot Bitcoin and Carbon Credit Futures ETF proposal and the public comments it has received, according to The Block. The fund, managed by 7RCC, aims to allocate 80% of its assets to Bitcoin and 20% to financial instruments tied to carbon credit futures, offering a unique combination of cryptocurrency exposure and sustainability-focused investments. Gemini, a major cryptocurrency exchange, will serve as the custodian for the Bitcoin held by the fund. The SEC’s Reason for the Delay The SEC’s delay in making a decision stems from the need for further review and consideration of the 7RCC Spot Bitcoin ETF. In its statement, the SEC highlighted that additional time is necessary to ensure a thorough assessment of both the ETF’s structure and the comments provided by industry participants. Public Comments and Review: The SEC regularly invites public commentary on ETF proposals, which can highlight potential risks, benefits, or challenges that may not have been fully considered in the initial filing. This extension allows the SEC to analyze these insights more carefully. Spot Bitcoin ETF Complexity: Bitcoin ETFs, particularly spot-based ones, have faced scrutiny from the SEC in the past due to concerns over market manipulation and custody arrangements. The complexity of combining Bitcoin with carbon credit futures likely adds another layer of regulatory review. Unique Structure: Bitcoin and Carbon Credit Futures The 7RCC Spot Bitcoin and Carbon Credit Futures ETF is notable for its blend of digital assets and carbon credits, offering investors exposure to two increasingly popular asset classes: 80% Bitcoin Allocation: The majority of the fund’s assets will be allocated to Bitcoin, providing direct exposure to the…

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Filed under: News - @ September 5, 2024 4:25 am