Former SEC Head Says Bitcoin ETFs Might Be Approved

Former SEC Chairman Jay Clayton believes that applicants for a spot Bitcoin ETF have the potential to be approved if they can demonstrate that such an asset would be a more efficient and effective way to allow for investor access.

Clayton noted that such approval is not likely to come easily, as the process would require regulatory scrutiny.

Nevertheless, he mentioned the impressive progress shown by the cryptocurrency industry in terms of institutional investments as a promising outlook.

Clayton has served as the department’s chairman from 2017 to 2020, a period in which the SEC rejected several applications for a spot Bitcoin ETF, and also faced a lawsuit with Ripple Labs.

He highlighted the lack of transparency and investor protection on the spot cryptocurrency market, as opposed to its futures market, as the main concerns of the regulator.