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- VNECK, 21shares and Canary Capital SEC urged to return to its standard “First to the File, the First to the Practical” for the approvals of Crypto ETP.
- Concurrent approvals are said to stifle innovation and deprivation smaller ETF companies.
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Three of asset managers, Vaneck, 21shares, and Canary Capital-signed a speech urging SEC to restore its “first to the first file” of the products circulating on the stock exchange.
The message, Published In the official X account for Vaneck on June 6, it expresses concern about the recent departure from its traditional practice of approval of ETPS in the ranking of the presentation.
The committee adopted a simultaneous approval, which, according to the fund managers, led to deprived of the younger companies and strangling innovation in the US ETF market of $ 15.4 trillion.
“When the favorite committee plays, it costs ETP money and makes the ETP market less just,” the companies mentioned in its common letter.
The companies noticed the launch of the Bitcoin futures for Bitcoin in late 2021, where Prosthares got more than 90 % of their market share at the start of a three -day head.
They also pointed to January 10, 2024, the simultaneous approval of ETPS for the Bitcoin team, where they say that the largest companies have gained their share in the dominant market despite its later offering from others.
“This important organizational transformation is far from the principle of approval from first to the file negatively affects the dynamics of the market in several critical ways,” the message mentioned. “It stimulates the symmetrical copies rather than the original innovation, thus inhibiting the great investment needed to develop real innovative products.”
In January 2024, the Supreme Education Council approved all the Investment Funds circulating in the 11th bitcoin at the same time, ignoring the request in which the exporters submitted their requests.
After a few months, the organizer followed the same approach with the Investment Funds in Spot ethereum, giving joint approval for all active deposits regardless of the time of application.
VANECK and 21shares were among the first companies to advance to Bitcoin and Ethereum Etfs, as she played a leading role in providing exposure of digital assets to the American market.
After these in -depth approvals, both companies, along with Canary Capital, moved to lead the next wave of deposits to obtain investment funds circulating in alternative encryption assets.
In particular, Canary Capital made early pushing Altcoin ETF space, and submit proposals to Ton Etf Streetand Cronos EtfAnd other specialized encryption products.
However, despite the early efforts of these exporters, the previous Supreme Education Council indicates that concurrent approval, instead of setting the first priorities to the file, may be the result again, if the committee decides to highlight the additional ETPS.
Over the past few weeks, SEC has been delayed decisions on multiccola applications, including those associated with Solana, XRP and Litecoin, among other things.
The latest Bloomberg Intelligence Intelligence forecast puts the possibilities of approval of ETFS Litecoin and Solana by 90 % this year, with ETF XRP boxes are not far from knees 85 %.
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