- Speculation grows that SEC insiders are losing hope in the Grayscale spot Bitcoin ETF case.
- Grayscale management argues that the SEC made an arbitrary decision, given that it approved Bitcoin futures contracts.
After grilling the U.S. Securities and Exchange Commission’s decision to reject the Grayscale spot Bitcoin ETF application, speculation grows that SEC insiders are losing hope in the lawsuit. During the initial arguments on March 7, 2023, judges questioned the SEC’s conclusions in the Grayscale case and asked the regulatory agency what the company has to do to get the application approved.
Grayscale management has been arguing that the SEC made an arbitrary decision, given that it gave a green light to Bitcoin futures contracts. Andrew, a Twitter user, claimed insider sources in the SEC of saying Grayscale getting a win in the ongoing lawsuit. Meanwhile, Ryan Selkis, founder of Messaricrypto, predicted that the SEC is going to lose its case against Grayscale.
SEC Officials Less Confident In Grayscale Case
According to Andrew, insider sources at the SEC have said that they are less confident about their case against Grayscale. Andrew said that either the SEC would allow spot Bitcoin ETF of disallow Bitcoin futures ETFs.The recent news comes after the judges questioned the SEC’s motives behind rejecting the Grayscale spot Bitcoin ETF application. Grayscale management maintained that the agency was unfair in its case, given that it gave the green light to Bitcoin futures contracts.
The SEC is going to lose its case against Grayscale.
Once that happens, the American investing public will see what a child the current SEC leader is when he responds by kicking over his sand castle & dismantling futures ETFs vs. letting the spot ETF pass through.
— Ryan Selkis 🪳 (@twobitidiot) April 6, 2023
Attorney representing XRP token holders comments on the ongoing lawsuit John Deaton, the attorney representing XRP token holders in the Ripple Vs SEC lawsuit, commented on the Grayscale spot Bitcoin ETF case.
He said that the courts are the only way to win as the Congress is not acting towards providing regulatory clarity. It remains to be seen how the Grayscale case will play out, but insiders suggest that the SEC’s position may be wavering.