Three out of the five committee members that accepted the files that resulted in the first-ever spot bitcoin (BTC) exchange-traded fund (ETF) were led by Gary Gensler, the chairman of the U.S. Securities and Exchange Commission (SEC).Gensler was one of the three commissioners who authorized the submissions, along with Hester Peirce and Mark Uyeda, according to a notice of commission voting posted on the SEC website.Jaime Lizárraga and Caroline Crenshaw, commissioners, voted against the measures.
Although Gensler has publicly expressed his skepticism and dismissal of the cryptocurrency market, Peirce is well-known for his support of the sector. Gensler has highlighted fraud and customer protection as the two main concerns facing the industry.
In his initial remarks following the approvals on Wednesday, Gensler reiterated the SEC’s opposition to bitcoin, claiming that the regulator was obliged to accept more than 12 bitcoin ETFs because to its legal defeat over rejecting Grayscale’s in 2022.
“We did not approve or endorse bitcoin,” Gensler said. “Investors should remain cautious about the myriad risks associated with bitcoin and products whose value is tied to crypto.”
Crenshaw, who took issue with the filings, said in a different statement that the choice “put us on a wayward path that could further sacrifice investor protection.”
Big financial players BlackRock (BLK) and Fidelity are among the approved providers. The well-known Bitcoin Trust (GBTC), managed by Grayscale, is one of the cryptocurrency native funds that has been uplisted as an ETF.At Bitwise, Invesco, ARK, and Grayscale, fees for these products can reach 1.5% after just a few months.