Bitcoin Prices Rise 5% After Greyscale Investment Wins Against US Regulators

Bitcoin prices are rising. (Photo; Doc. Unsplash)

JAKARTA - Grayscale Investments, the company focused on investing in crypto, has managed to set a new record with its second legal victory in the quarter. Greyscale made the victory against the United States Securities and Exchange Commission (SEC) in court recently.

The federal court has given the company the green light to launch the first Bitcoin Exchange-Trad Fund (ETF) in the United States. This move marks an important moment in opening the door to the general public's participation in crypto investment.

The impact was immediately felt, where the price of Bitcoin jumped sharply by 5%. At the time of writing, the price of Bitcoin was at the level of IDR 417 million. BTC price performance has increased 5.2% in the last 24 hours based on Coingecko data.

Earlier, a US court judged that the SEC acted arbitrarily against Grayscale's request to convert the Bitcoin Trust product into a complete Exchange Trade Fund (ETF). The reason is that the product is deemed insufficient to be "designed to prevent fraudulent acts and manipulation."

The reaction to this decision creates a strong view. Jake Chervinsky, Chief Policy Officer of the Blockchain Association, sees this victory as "an embarrassing disapproval for the SEC." However, he warned that approval for the spot's Bitcoin ETF product, which is much desired, has not been granted.

In estimating the next move, Jake stated that the SEC should reconsider its proposal to turn the Grayscale Bitcoin Trust (GBTC) into a BTC ETF spot, using the DC Circuit Appeal decision as a new guide.

Momentum obtained from the current legal decision believes that Grayscale has the potential to be a pioneer with the first approval of a spot Bitcoin ETF product in the United States.

Although optimism for Bitcoin is starting to develop among the crypto community, Jake remains skeptical of the possibility that the SEC will give approval easily. According to him, the SEC could be looking for other reasons to reject this product in the future.