Reality Shares confirmed the withdrawal of its bid to change the rules of the NYSE Arca exchange, which, if approved, would allow it to launch an exchange-traded fund (ETF) with partial access to bitcoin futures. It is reported by CoinDesk.
The decision was made just a few days after the application was filed with the US Securities and Exchange Commission (SEC) after the agency employees contacted the company, recommending that they withdraw the application.
It was assumed that the Global Currency Strategy ETF would provide access to "fiat and widely circulated virtual currencies."
I can confirm that we did withdraw it and it was withdrawn because the staff are still taking the position that it’s not appropriate to file a registered 40 Act fund with cryptocurrency exposure at this time.
Reality Shares Lawyer
He also noted that the aforementioned law on investment companies would allow automatic approval after 75 days, and it was this fact that made the SEC contact the company.
In January, Reality Shares created an ETF tied to the blockchain market and traded on the Nasdaq exchange.